Under the UCC, an order requesting "prompt" shipment of goods:
Answer
a.
requires acceptance via writing within a "reasonable" time frame.
b.
impliedly invites acceptance by either a prompt promise to ship or a prompt shipment of the goods.
c.
neither (a) nor (b).
d.
both (a) and (b).
10 points

Question 2
Mack's Bar sent Olive Outlet an order for 200 cases of olives, to be shipped "as soon as possible." The day Olive Outlet receives Mack's order it does not have 200 cases of olives in stock, so it sends Mack 140 cases of olives and 60 cases of onions. Olive Outlet does not notify Mack that they are shipping the onions in lieu of olives. Later that day, Mack phones the Outlet and tries to revoke his offer. Under the UCC:
Answer
a.
Mack does not have to accept the shipment.
b.
Olive Outlet has accepted and breached the contract.
c.
Olive Outlet's shipment is considered a counteroffer .
d.
all of the above.
10 points

Question 3
Under which source(s) of law must the acceptance be an identical %u201Cmirror image%u201D of the offer in order to form a contract?
Answer
a.
neither the Common Law nor the Uniform Commercial Code; under both sets of rules a contract will be formed if the parties agree on the material terms and they intend for a contract to result
b.
both the Common Law and the Uniform Commercial Code
c.
Uniform Commercial Code
d.
Common Law
10 points

Question 4
On June 1, Fred sends Wilma an e-mail offering to build her a new garage for $20,000. In his e-mail, Fred wrote, "acceptance by certified mail is advisable." On June 2 at 8 AM, Fred sends Wilma a certified letter attempting to revoke the offer. At 2 PM the same day, Wilma mails Fred a letter via certified mail attempting to accept his offer. Under these circumstances:
Answer
a.
The parties do not have a contract until Fred receives Wilma's acceptance.
b.
Fred's revocation is effective and the parties do not have a contract.
c.
Wilma's acceptance is effective upon dispatch.
d.
both (a) and (b).
10 points

Question 5
Anyone who hears about an offer can accept that offer.
Answer
a. True
b. False
10 points

Question 6
The UCC requires application of the "mirror image" rule in cases where contract for the sale of goods are made by exchanging forms.
Answer
a. True b. False
10 points

Question 7
According to the UCC, the offeror who remains silent impliedly authorizes the offeree to accept by any reasonable means of communication.
Answer
a. True b. False
10 points

Question 8
Able sent Baker an offer to sell his car for $5,000. The offer was sent on May 1, and was received on May 4. On May 5 Baker sent Able a counter-offer to purchase the car for $4,000. This counter-offer was received on May 8. On May 6, Baker decided that she really wanted the car, and sent an acceptance to Able%u2019s original offer. This acceptance was received on May 9. Based on this exchange of communications, which consisted of letters:
Answer
a.
a contract was formed on May 9
b.
no contract was formed
c.
a contract was formed on May 6
10 points

Question 9
Mary offered to sell her car to Alice for $10,000. This offer was sent on April 1 and was received on April 4. On April 5 Alice sent an acceptance that was received on April 8. However on April 6 Alice changed her mind. All the previous communications were sent via U. S. Mail. On April 6 Alice sent a rejection, and she sent it via a special messenger. The messenger delivered the rejection to Mary on April 7. What result?
Answer
a.
no contract was formed
b.
contract formed on April 5
c.
contract formed on April 8
10 points

Question 10
The Code provides that shipments of nonconforming goods following an order requesting prompt shipment is a counteroffer, so that buyers might be protected against the so-called "unilateral contract trick."
Answer
a. True b. False