1 | Page
ETH/321T: Ethical And Legal Topics
In Business Questions and Answers
Latest 2026
Hannah has a contract dispute with Ralph over a sale of
goods. Hannah wants to submit the contracts she has
made with her other customers as evidence of her fair
dealings. Which of the following is true? Ans: Hannah
cannot use other contracts to explain the terms of her
contract with Ralph unless they show a consistent
industry or trade practice that is also consistent with
Ralph's contract.
For the scenario, determine if the party is guilty and what
is "at play" related to agreement between parties.
Tyson gets his employees to sign an employment
agreement which has extra contract obligations hidden in
small, almost invisible type. Ans: Guilty - Fraud in the
execution
Which of the following would not qualify as valid
consideration? Ans: Spencer and Linda sign a contract
where Linda buys all her lumber from Spencer and
Spencer sells as much lumber to Linda each week as he
wants.
Based on the details of the scenario, determine what will
most likely occur.
© 2025 All rights reserved
, 2 | Page
Jillian and Chase are making a contract in which Jillian
ships beaver pelts to Chase, who then makes the pelts
into hats to sell. A year into their contract, it becomes
illegal to buy or sell beaver pelts in the U.S. Ans:
Contract is voided
For the scenario, determine if the party is guilty and what
is "at play" related to agreement between parties.
Lucy agrees over the phone with Daryl to sell him "the
pretty necklace in the window" in Lucy's pawn shop. Lucy
sends Daryl the wrong necklace from a different window.
Ans: Not Guilty
Based on the details of the scenario, determine what will
most likely occur.
Stewie, aged 16, has a contract with his guardian to do
chores as payment for his food and housing. Stewie
decides the contract is unfair and stops doing his chores.
Ans: Contract is valid
What is the most likely status of the contract for the
scenario?
Laura, a 17-year-old, signs a contract with her neighbor to
buy a car through monthly payments. Laura loses her job
the next week and can no longer make the payments.
Laura's contract with her neighbor is most likely: Ans:
Voidable
Based on the details of the scenario, determine what will
most likely occur.
© 2025 All rights reserved
ETH/321T: Ethical And Legal Topics
In Business Questions and Answers
Latest 2026
Hannah has a contract dispute with Ralph over a sale of
goods. Hannah wants to submit the contracts she has
made with her other customers as evidence of her fair
dealings. Which of the following is true? Ans: Hannah
cannot use other contracts to explain the terms of her
contract with Ralph unless they show a consistent
industry or trade practice that is also consistent with
Ralph's contract.
For the scenario, determine if the party is guilty and what
is "at play" related to agreement between parties.
Tyson gets his employees to sign an employment
agreement which has extra contract obligations hidden in
small, almost invisible type. Ans: Guilty - Fraud in the
execution
Which of the following would not qualify as valid
consideration? Ans: Spencer and Linda sign a contract
where Linda buys all her lumber from Spencer and
Spencer sells as much lumber to Linda each week as he
wants.
Based on the details of the scenario, determine what will
most likely occur.
© 2025 All rights reserved
, 2 | Page
Jillian and Chase are making a contract in which Jillian
ships beaver pelts to Chase, who then makes the pelts
into hats to sell. A year into their contract, it becomes
illegal to buy or sell beaver pelts in the U.S. Ans:
Contract is voided
For the scenario, determine if the party is guilty and what
is "at play" related to agreement between parties.
Lucy agrees over the phone with Daryl to sell him "the
pretty necklace in the window" in Lucy's pawn shop. Lucy
sends Daryl the wrong necklace from a different window.
Ans: Not Guilty
Based on the details of the scenario, determine what will
most likely occur.
Stewie, aged 16, has a contract with his guardian to do
chores as payment for his food and housing. Stewie
decides the contract is unfair and stops doing his chores.
Ans: Contract is valid
What is the most likely status of the contract for the
scenario?
Laura, a 17-year-old, signs a contract with her neighbor to
buy a car through monthly payments. Laura loses her job
the next week and can no longer make the payments.
Laura's contract with her neighbor is most likely: Ans:
Voidable
Based on the details of the scenario, determine what will
most likely occur.
© 2025 All rights reserved
