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Week 10 quiz CC & P

Total questions: 20

Worksheet time: 10mins

Name
Class
Date
1.

Which of the following is not a contract essential?

a)

Intention to create legal relationship

b)

Offer

c)

Acceptance

d)

Financial equality

2.

What occurs if there is no intention to legally contract?

a)

There is no valid contract

b)

The contract is vague

c)

The contract is open for negotiation

d)

None of these

3.

Under what circumstances can presumptions be made that there is no intention to create a contract?

a)

Family or close friends

b)

Colleagues that work in different industries

c)

Colleagues that socialise on the odd occasion

d)

Companies from different states

4.

Under what circumstances can presumptions be made that there is an intention to create a contract?

a)

If an agreement is amongst different generations of a family

b)

If the agreement is commercial

c)

If the agreement is based on long term relationships

d)

All of these

5.

What types of people may not be able to contract?

a)

Under 18yrs of age

b)

Mentally impaired

c)

Prisoners

d)

Bankrupt persons

e)

All of these

6.

When is a contract formed?

a)

When an offer is made from one party to the other

b)

When a party appreciates the offer of the other party

c)

When two parties discuss an object of interest

d)

When an offer by one party is accepted by the other party

7.

Does a counter offer constitute the forming of a contract?

a)

Yes

b)

No

c)

When the counter offer is fair

d)

When the counter offer exceeds the original offer

8.

What is an invitation to treat?

a)

An offer

b)

An acceptance of an offer

c)

An invitation to make an offer

d)

An invitation to discuss the contents of a contract

9.

Can an offer be terminated before it is accepted?

a)

Yes

b)

No

c)

Only if enough notice is provide to potential offeree

d)

None of these

10.

The implications of an offeree rejecting an offer are:

a)

The offer is terminated and cannot be accepted later.

b)

The offer becomes a binding contract automatically.

c)

The offer remains open for acceptance indefinitely.

d)

The offeror is legally required to renew the offer.

11.

What occurs when the offeree accepts an offer with conditions?

a)

The original offer no longer exists

b)

There is not a true acceptance of the offer

c)

The offeree’s has produced a counteroffer

d)

All of these

12.

What is the scenario when an offer is not accepted within a set period of time?

a)

The offer lapses

b)

The offer conditions change automatically

c)

The offer is reduced in value for the offeree

d)

A counteroffer must be made

13.

Choose all below that must make up an acceptance

a)

Clear communication of acceptance

b)

Understanding of the terms of the offer

c)

Acceptance in the form designated by the offeror

d)

An unspoken understanding of the contract terms and conditions

14.

What is consideration?

a)

Item of value

b)

Service

c)

Must be sufficient

d)

All of these

15.

Which of the following is not consideration

a)

Past consideration

b)

Promise for a promise

c)

Executory consideration

d)

All of these

16.

Which below can affect consent in contracting

a)

Mistakes

b)

Misrepresentation

c)

Unconscionability

d)

Voluntary act

17.

What contract aspects can affect the legality of a contract

a)

Void by statutes

b)

Illegal conduct in contracting

c)

Criminal activity part of contract

d)

All of these

18.

What essential element of contracts does Carlill v Carbolic Smokeball Co (1893) discuss?

a)

Offer and acceptance

b)

Legality

c)

Consideration

d)

None of these

19.

What does the case of Blomley v Ryan (1956) discuss.

a)

Capacity to contract

b)

Legality

c)

Consideration

d)

None of these

20.

The case of Chappell & Co v Nestle Co Ltd (1960) refers to which essential contract element?

a)

Legality of contract

b)

Consideration

c)

Consent

d)

Capacity to contract