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San Diego State University Business Law Questions

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1. Paula’s friend and roommate Carrie takes Paula’s car and has left a note saying she needs
to drive to Florida and will be back in two weeks. Which two torts could Paula possibly
allege against Carrie?
2. Sonny is the owner of an art gallery, and he is selling an original art masterpiece
(“Artwork”). In order to set the price, Sonny has the Artwork, appraised. The report says
that the Artwork’s value is $300,000. Sonny is starting to lose his memory due to age, so
he remembers the number incorrectly, and when he negotiates a sales agreement with
Nicole, he asks for $30,000. She agrees.
a. After the agreement is made, if Sonny or his family want to attack the sales
agreement, what ground could be used?
b. Instead of selling the Artwork, Sonny sells his art gallery to Nicole for
$1,000,000. In the sales agreement, he agrees that for the next two (2) years, he
will not open another art gallery within 5 miles of the original gallery. What is
this type of provision called?
c. The agreement for the sale of the art gallery states that Nicole is required to raise
$350,000 from investors or lenders and only after she has raised the funds will she
be obligated to finish the purchase. What is the legal term for this provision?
3. Kevin and Anne rent an apartment from Sue. Kevin and Anne’s son, Peter, orally agrees
to pay the monthly rent if his parents do not.
a. What kind of agreement has Peter made?
b. Which common law rule requires the agreement with Peter to be in writing?
c. If Sue wants to enforce the agreement with Peter, upon what rule will she rely?
4. Helen has a cabin in the mountains. She visits on the weekends in the fall. On one fall
weekend, when Helen arrives, she sees evidence that someone has been camping on her
land. If Helen can figure out who was camping, what tort would she allege?
a. trespass to land
b. false imprisonment
c. wrongful interference
d. trespass to personal property
5. Brent wants to buy Samantha’s land, but he does not have all the cash needed. He thinks
he’ll need 3 months to find partners to invest or to raise the money. He asks Samantha to
keep the offer open for 3 months. What is Brent proposing?
a. option contract
b. implied contract
c. voidable contract
d. settlement agreement
6. After parties settle all the terms and finalize their agreement, what is the agreement is
a. bilateral agreement
b. voidable agreement
c. integrated agreement
d. collateral agreement
7. Beth has been driving for six hours and is sleepy. She closes her eyes and runs into Hal’s
car in front of her. What tort may Beth have committed?
a. comparative negligence
b. Battery
c. strict liability
d. Negligence
8. Fast Forward Foods (“Fast Forward” is a grocery delivery company. Pantry Fine
Groceries (“Pantry”) is currently contracted for delivery services with a competitor called
Speedy Delivery (“Speedy”). Fast Forward’s representative visits Pantry to see if he can
persuade Pantry to change delivery companies. The rep says Speedy’s drivers have bad
driving records and damaged goods in transit. The statements are false. Pantry decides
to break the contract with Speedy and hire Fast Forward. For what tort claim might
Speedy sue Fast Forward?
a. intentional infliction of emotional distress
b. wrongful interference with a business relationship
c. wrongful interference with a contractual relationship
d. fraudulent misrepresentation
9. Steve attended Opening Day at Dodger Stadium. A ball was hit into the stands, but Steve
was distracted and did not see it. The ball hit him on the side of his head, and he was
badly injured. Steve sues the Dodgers Team and the owners of Dodger Stadium. What
defense will be raised by the defendants?
a. Consent
b. defense of others
c. comparative negligence
d. assumption of risk
10. Grand Clothiers has a contract with Best Dressed Shop, a retailer, to deliver 300 sweaters
to Best Dressed on October 1st. On September 1st, Grand Clothiers sent a letter to Best
Dressed that said Grand Clothiers will not be able to make the delivery as scheduled. By
sending the September 1st letter, what has Grand Clothiers done?
a. unilateral agreement
b. bilateral agreement
c. voidable agreement
d. anticipatory repudiation

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