Question 1

2pts

Once someone has been declared mentally incompetent by a court, any contractsthey later enter into are void.

Group of answer choices

True

False

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Question 2

2pts

In general, after disaffirming a contract a minor must return any consideration still in the minor's possession.

Group of answer choices

True

False

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Question 3

2pts

A minor may not enter into a contract.

Group of answer choices

True

False

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Question 4

2pts

A minor, after reaching majority, can disaffirm a contract at any time.

Group of answer choices

True

False

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Question 5

2pts

The contracts of a mentally impaired person are always void.

Group of answer choices

True

False

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Question 6

2pts

Little Dave, age 15, bought some toy drums from a music store. A week later, Little Dave got tired of playing the drums so he called the store to disaffirm.Which of the following is true?

Group of answer choices

Little Dave can disaffirm but must return the drums.

Little Dave cannot disaffirm because he has already played the drums.

Little Dave cannot disaffirm because he is a minor.

Little Dave can disaffirm and can keep the drums.

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Question 7

2pts

A party can disaffirm a contract based on intoxication:

Group of answer choices

A party can disaffirm a contract based on intoxication:

if both parties have been drinking.

only when one party has been drinking.

only if he or she was a minor.

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Question 8

2pts

An adult may disaffirm a contract:

Group of answer choices

because of their mental impairment.

if he or she enters into a contract with a minor.

if he or she enters into a contract with an intoxicated individual.

if he or she enters into a contract with an intoxicated individual.

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Question 9

2pts

In California the age of majority is 18.

Group of answer choices

True

False

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Question 10

2pts

A minor is the one most likely to argue that an item is a necessary.

Group of answer choices

True

False

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Question 11

2pts

A fully emancipated minor cannot disaffirm a contract.

Group of answer choices

True

False

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Question 12

2pts

Ratification requires a specific and detailed letter indicating acceptance of the contract.

Group of answer choices

True

False

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Question 13

2pts

In general, it is harder to disaffirm a contract based on mental incapacity than it is for intoxication.

Group of answer choices

True

False

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Question 14

2pts

The majority of states allow a minor to disaffirm a contract even if he lied about his age.

Group of answer choices

True

False

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Question 15

2pts

Food, clothing and shelter are always "necessaries."

Group of answer choices

True

False

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Question 16

2pts

If the only purpose of a contract is to restrain competition, the contract violates public policy and is illegal.

Group of answer choices

True

False

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Question 17

2pts

Exculpatory clauses are never enforceable.

Group of answer choices

True

False

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Question 18

2pts

The only time a minor can disaffirm a contract is after reaching the age of majority.

Group of answer choices

True

False

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Question 19

2pts

Courts generally refuse to enforce:

Group of answer choices

all of these.

contracts against public policy.

contracts that violate criminal law.

contracts that violate statutory policy.

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Question 20

2pts

Normally an illegal contract is:

Group of answer choices

Unenforceable

Voidable

Unconscionable

None of these.

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Question 21

2pts

Exculpatory clauses:

Group of answer choices

can never relieve a party from liability for any wrongdoing greater than negligence.

can relieve a party from liability for wrongdoing no matter what the reason.

are always illegal.

are always enforced because of freedom to contract.

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Question 22

2pts

Which of the following will increase the chances that a covenant (agreement) not to compete clause will be enforced?

Group of answer choices

the restriction is necessary to protect trade secrets.

the restriction involves a geographical area larger than the area in which the employer does business.

the covenant contains a "lifetime" restriction.

none of these, as covenants not to compete are an illegal restriction on an individual's right to work.