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HSC Legal Studies - Consumer

Total questions: 16

Worksheet time: 9mins

Name
Class
Date
1.

Which of the following best describes the principle of laissez-faire economy?

a)

The government felt that it needed to ensure that manufacturers made products fit for the purpose intended.

b)

The government felt that it could not interfere in the market and that the responsibility was on the buyer to 'beware' before purchase.

c)

The government felt that it could not interfere as it had no power to do so.

d)

The government felt that it needed to intervene to protect the interests of the business community.

2.
The main stakeholders in the area of consumer law are best represented by which of the following?
a)
Consumers, government and employer groups
b)
Consumers, government and manufactureres/suppliers
c)
Consumers, lobby groups and manufacturers/suppliers
d)
Consumers, government and consumer complaints tribunals.
3.

Which of the following best describes the difference between express and implied terms?

a)

Implied terms are terms that are included in the contract, either verbally or in writing, and agreed to by both parties. An express term is a promise that is binding on the parties to the contract even though it may not actually be found within the contract.

b)

Express terms are terms that are included in the contract verbally at the time of writing and agreed to by both parties. An implied term is a promise that is binding on the parties to the contract even though it may not actually be found within the contract.

c)

Express terms are terms that are included in the contract, either verbally or in writing and agreed to by both parties. An implied term is a promise that is not binding on the parties to the contract and not actually found within the contract.

d)

Express terms are terms that are included in the contract either verballly or in writing and agreed to by both parties. An implied term is a promise that is binding on the parties to the contract even through it may not actually be found within the contract.

4.
The way in which the law protects consumers from unjust contracts is best reflected by which of the following?
a)
By the common law estabslishing new precedents and consumer lobby groups.
b)
Legislation containing consumer protection from business that discourage consumers from signing unjust contracts.
c)
By the common law establishing new precedents and consumer legislation.
d)
Consumer legislation and the right of consumers to make complaints.
5.
The Trade Practices Act 1947 (Cth) has sought to regulate marketing and selling practices and has restricted many practices. Which of the following protections in Australian law is NOT derived from this Act?
a)
Misleading and deceptive conduct
b)
Bait advertising
c)
Undue influence
d)
Pyramid selling
6.
Which of the following is the definition of a consumer provided by the Trade Practices Act 1974 (Cth)?
a)
A person who buys goods for personal, domestic or household use.
b)
A person who acquires goods and services.
c)
Anyone who uses credit to make purchases.
d)
Anyone who acquires goods and services for cash.
7.
What does the term 'caveat emptor' mean in consumer law?
a)
Freedom to contract.
b)
Government protection for consumers
c)
Buyer beware
d)
Seller beware
8.
In which of the following circumstances does a contract exist?
a)
Alex promises Jessica that she can borrow his study notes.
b)
Alex agrees to give his champion racehorse to Jessica.
c)
Jessica offers to sell Alex a watch for $60 and he offers her $50 for it.
d)
Jessica agrees to pay the $120 Alex requested for his guitar.
9.
If a customer relies on a seller's advice in choosing the right product for a job, but then finds the product quite unsuitable, what implied term has been breached?
a)
Merchantable quality
b)
Fitness for purpose
c)
Unconscionable conduct
d)
Value for money
10.
Why are exclusion clauses used by sellers of a good or service?
a)
Because they always limit the liability of the seller
b)
To explain additional terms to consumers
c)
To reduce the seller's potential areas of liability
d)
Because they overcome ambiguous statements in contracts
11.
The Prade Practices Act 1974 (Cth) places a general prohibition on what type of conduct?
a)
Fraudulent conduct
b)
Misleading and decptive conduct
c)
Negligent and ill-informed conduct
d)
Conduct that confuses or misleads consumers
12.

If a doctor treating a dying patient persuades them to alter their will in favour of the doctor, what legal term can be used to describe this conduct?

a)

Duress

b)

Undue influence

c)

Misrepresentation

d)

Negligence

13.
What is the name of the main legislation covering consumer law in Australia
a)
Fair Trading Act 1987 (NSW)
b)
Competition Commission Act 2010 (Cth)
c)
Fair Practices Act 1987 (NSW)
d)
Competition and Consumer Act 2010 (Cth)
14.
What is the term given to the process ensuring that all goods meet certain standards in respect to quality and performance?
a)
Product certification
b)
Product standardisation
c)
Occupational licensing
d)
Product licensing
15.
What is NCAT?
a)
NSW Civil and Adminstrative Tribunal
b)
NSW Criminal and Adminstrative Tribunal
c)
NSW Consumer and Adminstrative Tribunal
d)
NSW Common and Adminstrative Tribunal
16.

Which of the following issues would NCAT be involved with?

a)

Misleading and deceptive conduct

b)

Fraudulent behaviour

c)

Tenacy disputes

d)

Plagiarism