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Law - Ch-6,7,8

Total questions: 23

Worksheet time: 12mins

Name
Class
Date
2.

Which of the following bills allows for inland and international transportation?

3.

Which of the following statements about bills of lading is/are correct?

1- A bill made out to a named consignee may be negotiable

2- A bill made out “to bearer” is non-negotiable

3- A seller can make the bill out to themselves, creating an order bill

4.

Which of the following is NOT a requirement of an international bill of exchange under the UN Convention on International Bills of Exchange and International Promissory Notes?

5.

Which of the following documents confirms receipt of specified goods?

6.

Which of the following is most likely provide immediate payment?

7.

Bruce has agreed to buy some sheep from Sheila. The parties have agreed that Bruce will pay in Australian Dollars on a bill of exchange.

Which of the following correctly describes Bruce’s role?

8.

Faith has agreed to purchase a consignment of barrels of herrings from Charity. Faith’s bank has countersigned the bill of exchange.

What is the role of Faith’s bank?

10.

Which of the following statements about the transfer of bills of exchange is/are correct?

A person who endorses a bill of exchange is liable on the bill

A bill of exchange, like a bill of lading, is a negotiable instrument

11.

Which of the following conditions is necessary in order for a principal to be able to ratify a contract entered into by an agent?

a)

The principal need only have contractual capacity when the contract is ratified

b)

The principal need only have contractual capacity when the contract was entered into

c)

The agent must have contractual capacity when the contract was entered into

d)

The principal must have contractual capacity when the contract was entered into and when it is ratified

13.

Benskin retired from the firm of Cropper & Co in 20X2 yet still wanted to be involved in some capacity. Cropper & Co continued to allow Benskin to negotiate contracts even though he had no appointed authority to enter into contracts on behalf of the company.

On what basis could Cropper & Co be liable as a principal for contracts made in 20X3 on behalf of Cropper & Co by Benskin?

15.

Even in cases where there are no express words, authority may still arise through _____.

Which words correctly complete this sentence?

16.

A principal refuses to ratify a contract entered into by an agent in his own name on the principal’s behalf but in excess of that agent’s authority.

Who may the third party concerned sue?

17.

Which of the following events does NOT necessarily terminate agency?

19.

Alex instructed Patricia, his agent, to place a bet on a horse in a race, at a time when gambling had been declared illegal. The horse won but Patricia had not placed the bet.

Can Alex recover the potential winnings from Patricia and why?

20.

Colin appointed Miles, an estate agent, as sole agent for the sale of his house. The agreed rate of commission was 2%. Miles passed the details to another estate agent, Simon, who sent his own client, Alec, to view it. Colin and Alec agreed a sale.

What commission can Miles claim from Colin on the successful completion of the sale?

21.

Adam, Ben and Carol have carried on business together in partnership since July. In September they decided to enter into a formal partnership agreement. The partners agreed the terms of the agreement in October and signed the completed agreement in November.

When did the partnership commence?