Strand 6 Review

Definition of UCC: The Uniform Commercial Code (UCC) is a __________.

• set of laws that provide legal rules and regulations governing commercial or business dealings and transactions

• federal statute related to technology and internet regulation

• collection of guidelines for ethical business practices

• database of commercial litigation cases

Explanation of Shipping Contract:

Rohan agrees to ship a container of electronics for Maya from Singapore to San Francisco. During Shipping, the container ship was sunk by pirates. Who is responsible for the loss?

• Rohan

• Maya

Explanation of Destination Contract:

If Grace orders furniture for her new apartment, the seller is responsible for ensuring the furniture arrives at Grace's apartment address, as agreed in the destination contract.

• True

• False

What was the primary goal of establishing the Securities and Exchange Act in 1934?

• To eliminate competition in the stock market
• To increase taxes on stock transactions
• To promote risky investments
• To restore investor confidence and provide transparency and regulation in the stock market.

Role of SEC in Enforcing the Act: The Securities and Exchange Commission (SEC) is the federal agency __________.

• responsible for enforcing federal securities laws

• in charge of the United States Treasury

• overseeing national parks and wildlife

• managing federal healthcare programs

Importance for Investor Confidence:

• Investor confidence is not relevant for attracting capital
• Investor confidence leads to market instability
• Investor confidence is important as it attracts capital and fosters growth.
• Investor confidence has no impact on economic growth

Types of Property Covered in Consumer Laws:

• Goods

• Services

• Real Property

• An Idea you have about a business

An expressed warranty is an __________. This warranty may be written or verbal and outlines the seller's obligations to the buyer regarding product quality and performance.

• implied contract

• explicit guarantee

• conditional promise

• verbal agreement

An implied warranty is a warranty that is __________. There are two main types:

• explicitly stated in writing

• not explicitly stated but legally binding

• only applicable to used goods

• a guarantee for a full refund

Warranty of Fitness: __________

• is a legal guarantee that goods meet the agreed specifications

• applies only to fitness equipment

• is automatically voided if the product is used

• can only be offered by manufacturers