1. A public policy reason for imposing strict product liability on all in the chain of distribution is:

1. These parties are able to insure against product liability costs.
2. These parties should be punished for putting dangerous products on the market.Consumers should be able to choose dangerous products if they want to.
3. Negligence was making it too easy for plaintiffs to recover.

QUESTION 12

1. Which of the following is not regulated by the FDA?

1. Eye shadow
2. Lipstick
3. Facial makeup
4. Ordinary household soap

QUESTION 13

1. The Revised Article 3 of the Uniform Commercial Code is called "Negotiable Instruments" rather than "Commercial Paper."
2. True
3. False

QUESTION 14

1. The signature of the drawer or maker of a negotiable instrument can appear anywhere on the face of the document.
2. True
3. False

QUESTION 15

1. A holder is the same as a holder in due course.
2. True
3. False

QUESTION 16

1. Which of the following isnotone of the four general types of negotiable instruments?
2. Notes
3. Drafts
4. Certificates of deposit
5. Money orders

QUESTION 17

1. Jane owes Bob $500.Bob requests that Jane sign a document, so Jane signs the following document:"I owe Bob $500.(Signed) Jane."This document is:
2. A draft.
3. A check.
4. A note.
5. Not a negotiable instrument.

QUESTION 18

1. A holder in due course takes an instrument free of which defenses?
2. Personal only
3. Real only
4. Free of all defenses
5. Free of no defenses

QUESTION 19

1. If unsecured credit has been extended to a judgment-proof debtor, the creditor is unlikely to collect the debt.
2. True
3. False

QUESTION 20

1. Revised Article 9 of the UCC governs secured transactions in personal property.
2. True
3. False