CAIB 3 PRACTICE EXAM (NEWEST VERSION) | ALL
QUESTIONS AND CORRECT ANSWERS (DETAILED
ANSWERS) | GRADED A+ | VERIFIED ANSWERS |
LATEST EXAM
What is the name given to the collection of written decisions? - (ANSWER)Case
Law
Explain the concept of the Rule of Precedent. - (ANSWER)Current court decisions
must follow those made in cases having similar circumstances, which allows the
development of a logical body of general principles against which specific cases to
be compared.
Explain the meaning of the term "damages". - (ANSWER)Compensation in money
for the loss or damage suffered.
Compensatory damages for bodily injury are an amalgamation of general and
special damages, and based on a number of factors which the courts take into
account.
State four factors that influence the determination of
compensatory damages. - (ANSWER)1. extent of financial support provided by
the injured party to his or her family
2. social position
3. reputation
4. financial circumstances
,5. ability of the plaintiff's legal representative
Explain the assumption that lies at the centre of the Doctrine of Strict Liability. -
(ANSWER)Based on the assumption that certain activities are so hazardous that,
in the event of injury or damage arising out of them, the person conducting the
activity shall be presumed to be legal liable
Identify two activities that impose strict liability on the person conducting the
activity. - (ANSWER)The setting off of explosives , the lighting of fires, the
operation of aircraft, the keeping of a dangerous thing on the premises, such as
water in a dam or cistern; gas; electricity; wild animals.
What is the position of the defendant in a legal action when the law deems the
defendant strictly liable? - (ANSWER)The defendant has the right to establish a
defense against an action alleging strict liability.
What determines if a product is defective? - (ANSWER)A defective product is one
that contained something that it should not have; or something that should have
been there was omitted in its manufacture.
The Sale of Goods Act sets out the contractual responsibilities of sellers for their
products. This Statute Law contains a number of implied warranties that form
part of every contract for the sale of goods.
Identify one implied warranty which is of significance to sellers of products. -
(ANSWER)fitness of a business's product(s) for a particular purpose
, The Sale of Goods Act also addresses a buyer's responsibility to exercise care as to
the suitability and quality of the products purchased.
State the exception to this general rule. - (ANSWER)When a buyer makes known
the particular purpose for which the goods are required, and relies on the seller's
skill or judgment, there is an implied condition that the goods will be reasonably
fit for such purpose. If they are not, the seller will be liable for damages should
injury or property damage result from their use.
Your client, the proprietor of pub, is insured under the Commercial General
Liability Policy. Indicate whether or not the policy would respond in the following
instances. State COVERED or NOT COVERED
The insured entered a claim for the recovery of a $1,000 payment made as a
goodwill gesture to a customer, a well-known entertainer, who injured himself
during a fall from a bar stool - (ANSWER)NOT COVERED - REFERENCE: Ch. 2, pg. 4
Your client, the proprietor of pub, is insured under the Commercial General
Liability Policy. Indicate whether or not the policy would respond in the following
instances. State COVERED or NOT COVERED
The insured had to cancel the booking of the pub for a large private event
because a ruptured pipe had caused serious water damage to the premises and
the restoration would not be completed in time. The insured was sued for breach
of contract by the band that was hired to perform at this event. - (ANSWER)NOT
COVERED - REFERENCE: Ch. 2, pg. 10
QUESTIONS AND CORRECT ANSWERS (DETAILED
ANSWERS) | GRADED A+ | VERIFIED ANSWERS |
LATEST EXAM
What is the name given to the collection of written decisions? - (ANSWER)Case
Law
Explain the concept of the Rule of Precedent. - (ANSWER)Current court decisions
must follow those made in cases having similar circumstances, which allows the
development of a logical body of general principles against which specific cases to
be compared.
Explain the meaning of the term "damages". - (ANSWER)Compensation in money
for the loss or damage suffered.
Compensatory damages for bodily injury are an amalgamation of general and
special damages, and based on a number of factors which the courts take into
account.
State four factors that influence the determination of
compensatory damages. - (ANSWER)1. extent of financial support provided by
the injured party to his or her family
2. social position
3. reputation
4. financial circumstances
,5. ability of the plaintiff's legal representative
Explain the assumption that lies at the centre of the Doctrine of Strict Liability. -
(ANSWER)Based on the assumption that certain activities are so hazardous that,
in the event of injury or damage arising out of them, the person conducting the
activity shall be presumed to be legal liable
Identify two activities that impose strict liability on the person conducting the
activity. - (ANSWER)The setting off of explosives , the lighting of fires, the
operation of aircraft, the keeping of a dangerous thing on the premises, such as
water in a dam or cistern; gas; electricity; wild animals.
What is the position of the defendant in a legal action when the law deems the
defendant strictly liable? - (ANSWER)The defendant has the right to establish a
defense against an action alleging strict liability.
What determines if a product is defective? - (ANSWER)A defective product is one
that contained something that it should not have; or something that should have
been there was omitted in its manufacture.
The Sale of Goods Act sets out the contractual responsibilities of sellers for their
products. This Statute Law contains a number of implied warranties that form
part of every contract for the sale of goods.
Identify one implied warranty which is of significance to sellers of products. -
(ANSWER)fitness of a business's product(s) for a particular purpose
, The Sale of Goods Act also addresses a buyer's responsibility to exercise care as to
the suitability and quality of the products purchased.
State the exception to this general rule. - (ANSWER)When a buyer makes known
the particular purpose for which the goods are required, and relies on the seller's
skill or judgment, there is an implied condition that the goods will be reasonably
fit for such purpose. If they are not, the seller will be liable for damages should
injury or property damage result from their use.
Your client, the proprietor of pub, is insured under the Commercial General
Liability Policy. Indicate whether or not the policy would respond in the following
instances. State COVERED or NOT COVERED
The insured entered a claim for the recovery of a $1,000 payment made as a
goodwill gesture to a customer, a well-known entertainer, who injured himself
during a fall from a bar stool - (ANSWER)NOT COVERED - REFERENCE: Ch. 2, pg. 4
Your client, the proprietor of pub, is insured under the Commercial General
Liability Policy. Indicate whether or not the policy would respond in the following
instances. State COVERED or NOT COVERED
The insured had to cancel the booking of the pub for a large private event
because a ruptured pipe had caused serious water damage to the premises and
the restoration would not be completed in time. The insured was sued for breach
of contract by the band that was hired to perform at this event. - (ANSWER)NOT
COVERED - REFERENCE: Ch. 2, pg. 10
