Consumer Protection Laws Quiz

Which of the following laws gives consumer three days to cancel contracts made with door-to-door salespersons?

• The Truth in Lending Act

• The Consumer Protection Act

• Federal Trade Commission Regulation

• The Sales Act

According to the Fair Credit Billing Act, how many days does the customer have to notify the creditor about a billing mistake?

• 30 days

• 90 days

• 60 days

• 120 days

Which of the following is NOT considered to be a billing error?

• Charge not incurred

• Charge for goods damaged by the consumer

• Charge billed with the wrong description

• Charge for goods never delivered

Which of the following is the most common cause of product liability claims?

• Manufacturing defect

• Warning defect

• Labeling defect

• Design defect

When a patient experiences side effects from a certain medication which were not disclosed by the pharmaceutical company, which of the following types of product liability claim can be applied?

• Warning and/or labeling defect

• Manufacture defect

• Product defect

• Design defect

Which of the following is an example of an intangible service?

• An apple

• A computer

• A carpet clean session

• A book

There is a time lag between production and consumption of tangible goods. Which of the following describes such a characteristic?

• Storability

• Tangibility

• Homogeneity

• Separability

Which of the following is NOT true about a sales contracts?

• A sales contract may be in writing or by word-of-mouth

• A sales contract may be implied from the conduct of the parties

• International sales contracts are governed by the Uniform Commercial Code (UCC)

• It is an agreement between a buyer and seller covering the sale and delivery of personal properties

In the risk of loss, which of the following occurs when the goods are intended primarily for the buyer’s use?

• Convert sale

• Sale on approval

• Consignment sale

• Sale or return

Which of the following occurs when a party to a contract fails to fulfill his or her obligation as described in the contract or communicates an intent to not uphold the obligation?

• Opening

• Break

• Risk

• Breach