Question1

Alberta and Bob make a contract. Bob breaches, so Alberta puts an end to the contract. Alberta's action will constitute a

Select one:

a.breach

b.termination.

c.cancellation.

d.fraud

Question2

All of the following statements are correct regarding consensus. Identify the incorrect statement

Select one:

a.Consensus is the basis for every contract

b.Consensus is not the basis for every contract

c.All parties must have an intention to be contractually bound

d.Every party makes his or her intention known

Question3

A consent is said to be free_______.

Select one:

a.When two or more people agree upon the same thing but not in the same sense

b.When two or more people disagree upon the same thing in the same sense

c.When two or more people agree upon the same thing in the same sense

d.When no one people agree upon the same thing in the same sense

Question4

Identify the option that is NOT a form of Alternative Dispute Resolution.

Select one:

a.Claims made to tribunals

b.Arbitration

c.The ombudsman scheme

d.Mediation

Question5

Acceptance is not effective through____.

Select one:

a.Conduct only

b.Conduct and/or express words.

c.Express words (whether oral or written) only.

d.The offeree's non-communicated intention.

Question6

The liability of the partners, including industrial partners for partnership contracts entered into in its name and for its account, when all partnership assets have been exhausted is

Select one:

a.Solidarity

b.Pro rata

c.Joint

d.Fraud

Question7

Freedom contacts Londiwe and asks her if she would be interested in purchasing his car for R65000. Londiwe immediately takes R65000 to Freedom and says she wants to buy the car. Freedom subsequently does not wish to proceed. What is the consequence of the above scenario?

Select one:

a.There is no contract as Freedom only requested information and did not make an offer to sell.

b.Freedom has the right to refuse before he takes possession of the cash.

c.A contract was made when Hannah accepted Michelle's offer.

d.As the value of the car is only R65000 the courts will not hear the case and no enforcement can be ordered.

Question8

Which of the following will ordinarily support a legally binding contract?

Select one:

a.Past consideration.

b.the parties mutually inducing each other, so there is no bargained-for exchange

c.Moral consideration.

d.Nominal consideration.

Question9

An intention to create legal relations will be presumed in which of the following situations?

Select one:

a.Between friends and social acquaintances

b.Between husband and wife

c.Where parties in a commercial relationship have established the agreement between them is 'in honour only'

d.Between parties in a commercial relationship

Question10

Consensus can be reached only when .

Select one:

a.Every one of the parties have the serious intention to be contractually bound

b.The parties have dissimilar interest

c.Everybody has no serious intentions to be contractually bound

d.Nobody makes their intention known to everybody

Question11

Identify the correct statement.

Select one:

a.A contract will only come into existence if the parties do not reach consensus

b.A contract will only come into existence when the lawyer reaches consensus

c.A contract comes into existence when the parties reach consensus

d.A contract will only come into existence if the lawyers only reaches consensus

Question12

_________________ is the basis for every contract

Select one:

a.Claims made to tribunal

b.Arbitration

c.The ombudsman scheme

d.Consensus

Question13

If all parties have a common intention or have in mind the same commitment, this is commonly known as _________.

Select one:

a.The ombudsman scheme

b.Consensus

c.Claims made to tribunals

d.Arbitration

Question14

Social agreements.

Select one:

a.Are legal contracts

b.Are subject to breach of contract

c.Are not legal obligations

d.May not bind the Parties

Question15

Indicate the choice that amounts to an offer

Select one:

a.Advertisements

b.A request to apply for a tender

c.Display of property

d.Items sold through a machine

Question16

The five-year meeting for setting a strategic plan requires management to have specific skills in all of the following areas except which of the following?

Select one:

a.controlling the organization's environment and its resources

b.organizing and coordinating

c.technical skills

d.handling information

Question17

Identify the option that is NOT a primary management function

Select one:

a.hiring employees

b.monitoring activities

c.motivating employees

d.setting goals

Question18

Katz and found that all of the following are critical management skills EXCEPT_____.

Select one:

a.Interpersonal

b.Intellectual

c.Political

d.Technical/functional

Question19

John Challenger is the plant manager for Edison Fuse Company in Greenville, Northern Pretoria. Based on his job title he is most likely a ____________.

Select one:

a.supervisor

b.top manager

c.first-line supervisor

d.middle manager

Question20

What does s 1(1) of the Contracts (Rights of Third Parties) Act 1999 state?

Select one:

a.Section 1(1) states that a contract can impose an obligation on a third party if the third party consents.

b.Section 1(1) states that, subject to the provisions of the Act, a contract can impose obligations on a third party where it is reasonable to do so.

c.Section 1(1) states that, subject to the provisions of the Act, a third party can enforce a term of a contract if the contract expressly provides that he may, or the term purports to confer a benefit on him.

d.Section 1(1) states that a third party can enforce a term of a contract where it is reasonable to do so.

Question21

Which of the following are essential elements of the tort of inducing a breach of contract?

Select one:

a.the tort is actionable per se

b.the defendant induces a breach of contract by direct or indirect means

c.the defendant intends by the inducement that a contract should be breached

d.there is no justification for the defendant's actions

Question22

Which one of the following statements is incorrect?

Select one:

a.Misrepresentations cover false statements and half truths.

b.A statement which is true when it is made but becomes false before the contract is completed may amount to a misrepresentation.

c.To be actionable the misrepresentation must be the only reason that persuaded the other party to enter into the contract.

d.In English law there is no duty to disclose information before a contract unless the contract is one of the utmost good faith or a special relationship of trust exists between the parties. .

Question23

George buys a vase from Louis for R20. Louis believes the vase is worthless but George knows it is valuable. George later sells it for R10,000. What legal action can Louis take against George?

Select one:

a.Sue George for the return of the vase as the contract is void for common mistake.

b.Sue George for breach of contract.

c.Louis has no legal remedy.

d.Sue George for the return of the vase as the contract is void for unilateral mistake.

Question24

Select the correct option. Determination of the exact moment at which consensus is reached is important because 1. the offer can still be recalled; 2. the offer can expire; 3.the contractual duties become enforceable; 4.time can lapse

Select one:

a.1, 3

b.1, 2, 4

c.1, 2, 3, 4

d.3, 4

Question25

What is meant by a common mistake in the law of contract?

Select one:

a.Where the parties are at cross purposes.

b.Where both parties make the same mistake.

c.A mistake that is often made.

d.Where only one of the parties makes a mistake.