CLEP Business Law FINAL EXAM
QUESTIONS WITH CORRECT
ANSWERS||100% GUARANTEED
PASS||A+ GRADED||UPDATED
2026/2027 SYLLABUS||<<NEWEST
VERSION>>
Which type of contract remedy allows a court to rewrite the parties' contract to
state what the parties had intended but had failed to properly express in the
contract document due to error?
a)
Reformation
b)
Specific performance
c)
Quantum meruit under quasi contract
d)
Restitution
e)
Rescission - ANSWER ✓ The correct answer is A. Reformation is an equitable
remedy in a contract case where the parties through error or oversight had not
expressed in their contract their exact intentions, such as misstating the scope of
the work to be performed. A decree of specific performance may be awarded
requiring a breaching party to perform as agreed. Quantum meruit is the measure
of the amount of money a plaintiff is due under quasi contract. It means the amount
deserved and usually is the value of the unjust enrichment the defendant has
unjustly received. Restitution is the equitable restoration of a person wronged by a
breach of contract by another. It puts the innocent person back to the same position
as before the contract. Rescission is the equitable remedy where a contract is
canceled, putting the parties back into their position before entering into the
contract. Each party must return the consideration received from the other party.
Rescission may be by agreement of the parties, by their conduct, or by order of a
court.
, Carla contracts with Debbie to sell an acre of land for $30,000. Debbie intends to
construct a house on the land. Similar land sold for residential construction
purposes usually sells for $38,000. Carla then refuses to convey the land to Debbie.
In this case what are Debbie's remedies for breach of contract?
I. Specific performance
II. Compensatory damages of $8,000
III. Restitution
a)
I only
b)
II only
c)
III only
d)
I, II, and III
e)
Either I or II, but not both - ANSWER ✓ The correct answer is E. Because each
parcel of land is considered by the law to be unique and money damages may not
be an appropriate remedy with regard to unique property, Carla may seek a decree
of specific performance to force Debbie to sell the land to her. Alternatively, Carla
may sue for money damages for her lost bargain of $8,000 ($38,000 fair value of
land minus the contract price). She cannot have both, however. As the facts of the
case do not indicate that Carla had not paid any of the consideration before the
breach, restitution is inapplicable to this case.
Carla has a hearing impairment. She applies for a job as a customer representative
with Large Employer. The job of customer representative requires the employee to
talk over a telephone. Carla has experience as a customer representative and is
otherwise qualified for the job if she can be given a reasonable accommodation of
her disability by having her employer acquire a special telephone for people with
hearing loss. Large Employer refuses to hire Carla because it does not want to go
through the inconvenience of providing her a reasonable accommodation for her
hearing impairment. Under which federal statute will Large Employer probably be
liable?
a)
Civil Rights Act of 1964, Title VII
b)
Fair Labor Standards Act
c)
Americans with Disabilities Act
,d)
Age Discrimination in Employment Act
e)
National Labor Relations - ANSWER ✓ The correct answer is C. The Americans
with Disabilities Act prohibits employers of fifteen or more employees from
discriminating against employees and job applicants with disabilities if they are
otherwise qualified given reasonable accommodation for their disability. Such
would be the case here. By refusing to make a reasonable accommodation of her
hearing disability, the employer is liable. As this is a larger employer, the
reasonable accommodation of a special telephone for Carla would not be an undue
hardship.
Which of the following federal administrative agencies have jurisdiction over
employment discrimination?
a)
National Labor Relations Board (NLRB)
b)
Equal Employment Opportunity Commission (EEOC)
c)
Federal Trade Commission (FTC)
d)
Department of Health and Human Services (DHHS)
e)
Federal Labor Board (FLB) under the Secretary of Labor - ANSWER ✓ The
correct answer is B. The Equal Employment Opportunity Commission (EEOC) has
jurisdiction over employment discrimination matters. The NLRB has jurisdiction
over labor-management relations. The FTC has jurisdiction over consumer
protection, fair competition, and antitrust matters. DHHS deals with health and
human services issues and generally is not responsible for regulating business. The
Secretary of Labor is responsible for Fair Labor Standards Act compliance.
Department Store refuses to hire a male job applicant to work as a sales clerk in its
ladies' apparel department. Since a sales clerk in that department must assist female
customers in the dressing areas and monitor surveillance cameras in the dressing
areas, Department Store will only employ women to work in the department
because it believes customers' privacy is of utmost importance. If the rejected male
job applicant files a claim for sex discrimination against Department Store, which
of the following will be the outcome?
a)
, Department Store will win because Title VII of the Civil Rights Act of 1964 does
not prohibit discrimination because of sex (gender).
b)
Department Store will win because being a female in the ladies' apparel department
is a bona fide occupational qualification.
c)
Department Store will lose because a male sales clerk can be knowledgeable about
ladies' clothing and foundation wear.
d)
Departm - ANSWER ✓ The correct answer is B. Title VII of the Civil Rights Act
of 1964 prohibits employers from discriminating against persons because of sex
(gender). Assuming the male job applicant was a qualified candidate for the
position of sales clerk in the ladies' apparel department, there would be
discrimination but there would not be liability. Gender in this case is a bona fide
occupational qualification (BFOQ). A BFOQ is a business necessity for the job, in
this case gender. The employer bears the burden of proving the business necessity
for the BFOQ. The importance of maintaining the customers' privacy is sufficient
proof that only women should work in that particular job. BFOQs may include
religion, age, gender, national origin (for authenticity), height and strength, and
others, but race cannot be a BFOQ.
Which of the following federal statutes requires employers to complete an I-9
form to prove the citizenship or legal immigration status of all new employees?
a)
Civil Rights Act of 1964, Title VII
b)
Immigration Reform and Control Act
c)
National Immigration Service Act
d)
Equal Pay Act
e)
Employee Retirement Income Security Act (ERISA) - ANSWER ✓ The correct
answer is B. The Immigration Reform and Control Act was enacted to prevent and
discourage illegal immigration. The statute requires employers to complete an I-9
form with proof that the job applicant is a U.S. citizen or is otherwise legally
authorized to be and work in the United States. The statute provides for
punishment to employers who employ illegal aliens and prohibits discrimination in
employment against persons because of their immigration status.
QUESTIONS WITH CORRECT
ANSWERS||100% GUARANTEED
PASS||A+ GRADED||UPDATED
2026/2027 SYLLABUS||<<NEWEST
VERSION>>
Which type of contract remedy allows a court to rewrite the parties' contract to
state what the parties had intended but had failed to properly express in the
contract document due to error?
a)
Reformation
b)
Specific performance
c)
Quantum meruit under quasi contract
d)
Restitution
e)
Rescission - ANSWER ✓ The correct answer is A. Reformation is an equitable
remedy in a contract case where the parties through error or oversight had not
expressed in their contract their exact intentions, such as misstating the scope of
the work to be performed. A decree of specific performance may be awarded
requiring a breaching party to perform as agreed. Quantum meruit is the measure
of the amount of money a plaintiff is due under quasi contract. It means the amount
deserved and usually is the value of the unjust enrichment the defendant has
unjustly received. Restitution is the equitable restoration of a person wronged by a
breach of contract by another. It puts the innocent person back to the same position
as before the contract. Rescission is the equitable remedy where a contract is
canceled, putting the parties back into their position before entering into the
contract. Each party must return the consideration received from the other party.
Rescission may be by agreement of the parties, by their conduct, or by order of a
court.
, Carla contracts with Debbie to sell an acre of land for $30,000. Debbie intends to
construct a house on the land. Similar land sold for residential construction
purposes usually sells for $38,000. Carla then refuses to convey the land to Debbie.
In this case what are Debbie's remedies for breach of contract?
I. Specific performance
II. Compensatory damages of $8,000
III. Restitution
a)
I only
b)
II only
c)
III only
d)
I, II, and III
e)
Either I or II, but not both - ANSWER ✓ The correct answer is E. Because each
parcel of land is considered by the law to be unique and money damages may not
be an appropriate remedy with regard to unique property, Carla may seek a decree
of specific performance to force Debbie to sell the land to her. Alternatively, Carla
may sue for money damages for her lost bargain of $8,000 ($38,000 fair value of
land minus the contract price). She cannot have both, however. As the facts of the
case do not indicate that Carla had not paid any of the consideration before the
breach, restitution is inapplicable to this case.
Carla has a hearing impairment. She applies for a job as a customer representative
with Large Employer. The job of customer representative requires the employee to
talk over a telephone. Carla has experience as a customer representative and is
otherwise qualified for the job if she can be given a reasonable accommodation of
her disability by having her employer acquire a special telephone for people with
hearing loss. Large Employer refuses to hire Carla because it does not want to go
through the inconvenience of providing her a reasonable accommodation for her
hearing impairment. Under which federal statute will Large Employer probably be
liable?
a)
Civil Rights Act of 1964, Title VII
b)
Fair Labor Standards Act
c)
Americans with Disabilities Act
,d)
Age Discrimination in Employment Act
e)
National Labor Relations - ANSWER ✓ The correct answer is C. The Americans
with Disabilities Act prohibits employers of fifteen or more employees from
discriminating against employees and job applicants with disabilities if they are
otherwise qualified given reasonable accommodation for their disability. Such
would be the case here. By refusing to make a reasonable accommodation of her
hearing disability, the employer is liable. As this is a larger employer, the
reasonable accommodation of a special telephone for Carla would not be an undue
hardship.
Which of the following federal administrative agencies have jurisdiction over
employment discrimination?
a)
National Labor Relations Board (NLRB)
b)
Equal Employment Opportunity Commission (EEOC)
c)
Federal Trade Commission (FTC)
d)
Department of Health and Human Services (DHHS)
e)
Federal Labor Board (FLB) under the Secretary of Labor - ANSWER ✓ The
correct answer is B. The Equal Employment Opportunity Commission (EEOC) has
jurisdiction over employment discrimination matters. The NLRB has jurisdiction
over labor-management relations. The FTC has jurisdiction over consumer
protection, fair competition, and antitrust matters. DHHS deals with health and
human services issues and generally is not responsible for regulating business. The
Secretary of Labor is responsible for Fair Labor Standards Act compliance.
Department Store refuses to hire a male job applicant to work as a sales clerk in its
ladies' apparel department. Since a sales clerk in that department must assist female
customers in the dressing areas and monitor surveillance cameras in the dressing
areas, Department Store will only employ women to work in the department
because it believes customers' privacy is of utmost importance. If the rejected male
job applicant files a claim for sex discrimination against Department Store, which
of the following will be the outcome?
a)
, Department Store will win because Title VII of the Civil Rights Act of 1964 does
not prohibit discrimination because of sex (gender).
b)
Department Store will win because being a female in the ladies' apparel department
is a bona fide occupational qualification.
c)
Department Store will lose because a male sales clerk can be knowledgeable about
ladies' clothing and foundation wear.
d)
Departm - ANSWER ✓ The correct answer is B. Title VII of the Civil Rights Act
of 1964 prohibits employers from discriminating against persons because of sex
(gender). Assuming the male job applicant was a qualified candidate for the
position of sales clerk in the ladies' apparel department, there would be
discrimination but there would not be liability. Gender in this case is a bona fide
occupational qualification (BFOQ). A BFOQ is a business necessity for the job, in
this case gender. The employer bears the burden of proving the business necessity
for the BFOQ. The importance of maintaining the customers' privacy is sufficient
proof that only women should work in that particular job. BFOQs may include
religion, age, gender, national origin (for authenticity), height and strength, and
others, but race cannot be a BFOQ.
Which of the following federal statutes requires employers to complete an I-9
form to prove the citizenship or legal immigration status of all new employees?
a)
Civil Rights Act of 1964, Title VII
b)
Immigration Reform and Control Act
c)
National Immigration Service Act
d)
Equal Pay Act
e)
Employee Retirement Income Security Act (ERISA) - ANSWER ✓ The correct
answer is B. The Immigration Reform and Control Act was enacted to prevent and
discourage illegal immigration. The statute requires employers to complete an I-9
form with proof that the job applicant is a U.S. citizen or is otherwise legally
authorized to be and work in the United States. The statute provides for
punishment to employers who employ illegal aliens and prohibits discrimination in
employment against persons because of their immigration status.
