Reference no: EM133293209
1. Which of the following is not one of the Uniform Commercial Code (UCC) classifications of collateral?
Goods
Accounts
Instruments
General tangibles
2. If goods from a breached contract are resold at a public sale, the seller must:
give the buyer reasonable notification of its intention to resell.
hold the sale at a usual place or market for public sales if one is reasonably available.
give the buyer notice only if the goods are perishable.
give the buyer notice only of the public sale's location.
3. Under the Uniform Commercial Code (UCC), for a security interest to attach, the __________.
creditor must take and possess the collateral
creditor must properly file a financing statement
debtor must be denied of all rights in the collateral
debtor must agree to the creation of the security interest or the secured party must have possession of the property
4. Risk of loss for international transactions is addressed by the Uniform Commercial Code and:
free trade agreements.
the World Trade Organization.
the common law.
the Convention on Contracts for International Sale of Goods.
5. When a rug shop owner repairs a customer's damaged rug, he may maintain possession of the rug until the customer pays a reasonable fee for its repair. The rug repairer has this right because of a __________ lien.
foreclosure
surety
possessory
guarantor
6. When an insurer fails or refuses to pay an amount contemplated by the policy's terms within a reasonable time after the occurrence of an event that triggers the duty to perform, the insured may sue the insurer for __________.
breach of contract
fraud
violation of the statute of frauds
negligence
7. According to the Bankruptcy Abuse, Prevention and Consumer Protection Act of 2005, an attorney's signature on a bankruptcy petition constitutes a __________ that the information contained in the schedules filed by the debtor is incorrect.
certification that the attorney, absent inquiry, has no knowledge
disclaimer of liability, for the attorney but not for his client
certification that the attorney, after inquiry, has no knowledge
claim of qualified immunity, for both the attorney and her client
8. Jack and Jeff contract for the delivery of tents, tables, and chairs for his new outdoor classrooms for his neighborhood teaching pods. Since the onset on COVID-19, Jeff offered to teach locally and is set to begin teaching October 1. The cost of the total goods is $10,000. There is a clause in the contract that if Jack fails to comply with the delivery on the goods by October 1, Jeff is entitled to $12,000 in damages. If the parties agree on a reasonable amount of damages that will be paid to the injured party, this amount is known as:
liquidated damages.
unconscionable damages.
punitive damages.
unenforceable damages.
9. Which of the following is not a method of foreclosure in common use today?
Strict foreclosure
Action and sale
Power of sale
Foreclosure in equity