Q1.

The fundamental law of the state or nation, which is the highest source of law of land, is the
_________________.
A. Business Law
B. Civil Law
C. Constitutional Law
D. Criminal Law

Q2. Mens Rea concept is used to determine:

A. Criminal intent
B. Premeditation
C. Conscious wrong doing
D. All the above

Q3. Preponderance of the evidence is the burden of proof by plaintiff. It indicates that:
A. Proof must be beyond reasonable doubt
B. Greater weight of believable evidence must be on the plaintiffs side
C. Is used to determine punitive or compensatory damages
D. Used for determining negligence or strict liability

Q4. The principle of precedent, as used in the common law means that:
A. Judges are not limited in what they can consider when making a decision
B. Judges are always required to rely on statute law in making a decision
C. A judicial decision cannot be reversed by appealing to a higher court
D. Principles established in earlier cases are applied in later similar cases
E. Higher courts are required to follow precedents established by lower courts

Q5. Business ethics deals primarily with:

A. social responsibility
B. the pricing of products and services
C. moral obligation
D. being unfair to the competition

Q6. According to concept of moral laxity, workers will often behave unethically because
A. they have planned to be unethical
B. they come from dysfunctional families
C. other issues seem more important at the time
D. management pressures them into unethical behaviour

Q7. Kattie, the owner of a small telecommunications firm gives gifts of stock in her company to
telephone company managers who purchase her equipment. Kattie is giving in to the ethical
temptation of:
A. Kickbacks
B. misuse of corporate resources
C. sexual harassment
D. treating people unfairly
Q8. The primary sources of law are:
A. Constitutions
B. Treaties
C. Statutes
D. All of the above

Q9. The duty to carry out contractual promises in an employment contract is covered under private
duties including corporations. Cases related to breach of such duties are covered under:
A. Substantive laws
B. Procedural laws
C. Criminal laws
D. Civil laws (torts)

Q10. Knowledge of the law is a business asset that can assist in achieving goals because business law
A. Protects business ideas and more tangible forms of property
B. Seeks to ensure that losses are borne by those responsible for them
C. Facilitates planning by ensuring compliance with commitments
D. All of the above

Q11. All of the following are elements of a negligent act EXCEPT:

A. existence of a legal duty
B. failure to perform that duty
C. damages or injury to the claimant
D. inability of the tortfeasor to pay the damages

Q12. The person who was injured as a result of a negligent act is called the tortfeasor.
A. True
B. False

Q13. The intentional commission of an act that a reasonable person knows would cause injury to
another is known as:
A. ordinary negligence
B. culpable negligence
C. comparative negligence
D. contributory negligence

Q14. A legal obligation of carefulness or prudence owed to those who are likely (or foreseeably
likely) to be injured by ones conduct is called _______.
A. reasonable care
B. duty of care
C. prudent
D. res ipsa loquitur
Q15. Under which doctrine are the plaintiff's damages reduced in proportion to his or her share of
negligence?
A. ordinary negligence
B. culpable negligence
C. comparative negligence
D. contributory negligence

Q16. Because of potential harm to individuals or society, some persons may be held liable for harm
or injury to others even though negligence cannot be proven. These types of torts are called:
A. intentional torts
B. negligence
C. strict (absolute) liability
D. breach of contract

Q17. To recover for negligence, the plaintiff must prove that the negligent act of the defendant was
the direct and ___________ cause of the plaintiff's injuries.
A. Foreseeable
B. Supervening
C. Reasonable
D. Proximate

Q18. Which theory of product liability states that a product was negligently built or built with
substandard materials?
A. strict liability
B. failure to warn
C. manufacturing defect
D. design defect

Q19. Assault, battery, false imprisonment and defamation are examples of

A. Negligence
B. Intentional torts
C. Strict liability
D. Misuse of legal proceedings

Q20. Salim is a journalist who publishes an untrue statement in the newspaper about a government
official who takes bribes. Salim can be sued for:
A. Defamation
B. Invasion of Privacy
C. Trespass
D. Interference with property rights

Q21. Harvey tells Patrick, a mutual friend, that he intends to offer the house to Jill for $35000.
Patrick calls Jill and tells her of his conversation with Harvey. Jill then calls Harvey and says, I accept
the offer. Is this a contract?
A. Yes. There is a proper offer and there is a valid acceptance.
 B. No. Since the offer was not communicated to Jill.
C. No. Since all Harvey, Patrick, & Jill are friends and it is a friendly promise.
D. Yes. The adequacy of consideration is not an issue

Q22. Catalogues, advertisements, quotations, auctions etc. are examples of:

A. Offer
B. Invitation to offer
C. Agreement
D. Contracts

Q23. Julee, a minor, rented an apartment in Greenwich Village for $800 a month. She signed a one-
year lease. After living there for three months, Betty decided to move to another apartment
complex. She is liable for the reasonable value of three months' rent at Greenwich Village, but not
for the remaining nine months' rent. This is in accordance with the _____ provision of capacity to
contract by minors:
A. Disaffirmation
B. Necessaries
C. Emancipation
D. Adjudication

Q24. Contracts made under duress and undue influences are _______________ because the injured
party has been deprived of the ability to make a free choice.
A. Void
B. Valid
C. Voidable
D. None of the above

Q25. When is the communication of proposals, the acceptance of proposals and the revocation of
proposals deemed to be made?
A. Only on clear verbal communication of such proposal, acceptance or revocation.
B. By any act or omission of the party by which he intends to communicate such proposal,
acceptance or revocation or has the effect of communicating it.
C. Only when the proposal, acceptance or revocation of the proposal is recorded in writing.
D. Only when the proposal, acceptance or revocation of the proposal is received and
understood by the other party receiving the information.

Q26. Which of the following is not a necessary feature to convert a proposal into a promise?
A. The acceptance must be absolute.
B. The acceptance must be within the prescribed time limit.
C. The acceptance must be unqualified.
D. The acceptance must be expressed in some usual and reasonable manner.

Q27. Which of the following statement regarding coercion is not true?

A. Coercion involves unlawful detaining or threatening to detain any property.
B. The act of coercion may be directed at any person and not necessarily at the other party to
the agreement.
 C. Coercion gives one person an advantage of a position of power over another person.
D. The act of coercion must be done with the object of inducing or compelling any person to
enter into an agreement.

Q28. In which of the following cases is a contract not voidable at the option of the party whose
consent was so caused:
A. When the consent was caused by coercion.
B. When the consent was caused by misrepresentation.
C. When the consent was caused by silence but the party had the means of discovering the
truth.
D. When the consent was caused by fraud.

Q29. Contingent contract means:

A. A suit entrusted to any person to abide by the result of any game or other uncertain event
on which may wager is made.
B. A contract to do or not to do something, if some event, collateral to such contract, does or
does not happen.
C. Agreements which are not certain, or capable of being made certain.
D. Every agreement, by which any party thereto is restricted absolutely from enforcing his
rights under or in respect of any contract.

Q30. When a party to a contract fails to perform a contract within the fixed time:
A. Such contract remains valid provided the promise is fulfilled whether at the time of
performance or later.
B. Such a contract becomes void.
C. Such contract becomes voidable at the option of the promise, if the intention of the parties
was that time should be of essence of the contract.
D. Such a contract becomes voidable at the option of the promisor or promise and the
intention of the parties does not matter.

Q31. What is the obligation of a person who has received advantage under void agreement?
A. He can retain the advantage received with the prior approval of the person from whom he
received it.
B. He can retain the advantage received without any prior permission from anyone.
C. He is bound to restore it or make compensation for it to the person from whom he received
it.
D. He is bound to restore it or make compensation for it only when a Court order is passed in
this behalf.

Q32. Which of the following does not constitute misrepresentation?

A. any breach of duty which, without an intent to deceive, gains an advantage to the person
committing it
B. the positive assertion, in a manner not warranted by the information of the person making
it, of that which is not true, though he believes it to be true
C. causing, however innocently, a party to an agreement, to make a mistake as to the
substance of the thing which is subject of the agreement
 D. any act fitted to deceive the other party wilfully

Q33. If it appears from the nature of the case that it was the intention of the parties to any contract
that any promise contained in it should be performed by the promisor himself:
A. The promisor may employ any other person who is party to the contract to perform the
promise.
B. Any relative of the promisor may perform the promise on behalf of the promisor.
C. Must be performed by the promisor himself.
D. Any person who is not a party to a contract may perform the promise.

Q34. Which of the following is not a necessary feature for free consent?
A. When the consent is not caused by coercion.
B. When the consent is not caused by undue influence.
C. When the consent is not caused by mistake.
D. When the consent is not caused by misunderstanding.

Q35. In case of breach of contract of sale of some rare article or thing for which there is no
substitute in the market, the Court may grant:
A. Quantum Meruit
B. Rescission
C. Injunction
D. Specific Performance

Q36. X owes AED 10,000 to Y under a contract. It is agreed between X, Y & Z that Y shall henceforth
accept Z as his debtor instead of X for the same amount. Old debt of X is discharged and a new debt
from Z to Y is contracted. This is:
A. Alteration of contract
B. Rescission of contract
C. Novation of contract.
D. Change in contract

Q37. Mr. A promises to pay Mr. B a sum of money if a certain ship returns within a year. The
Contract may be enforced if the ship returns with the year and becomes_____ if the ship is burnt
within the year.
A. Void
B. Voidable
C. Both of the above
D. None of the above

Q38. On May 14, 2011 Jacob enters into an agreement with Apex Painting Company to paint get his
house painted before 14 June 2011, for a sum of 15000 AED. On May 24, 2011 Jacob calls Apex
Painting Company and informs that the contract is over and other company is ready to paint the
house at 12000 AED. Apex sues Jacob. Jacob argues there is not consideration. Understanding the
definition of consideration does the case have which all elements of consideration?
A. The contract has a legal value
 B. The contract is bargained for
C. Consideration is in exchange for an act or promise
D. All the above

Q39. Which of the following agreement is void?

A. Agreement in restraint of marriage
B. Agreement which is expressed in writing and registered under the law for the time being in
force for the registration of documents, and is made on account of natural love and affection
between parties standing in a near relation to each other
C. Agreement to compensate, wholly or in part, a person who has already voluntarily done
something for the promisor, or something which the promisor was legally compellable to do
D. Agreement made in writing and signed by the person to be charged therewith or by his
agent generally or specially authorised in that behalf, to pay wholly or in part debt of which
the creditor might have enforced payment but for the law for the limitation of suits.

Q40. Philip, aged 30, enters into a contract for the sale of his car with Robert, aged 17. Which of the
following is correct?
A. Philip has no duty to perform under this contract because Robert lacks the capacity to enter
into a binding contract
B. Robert can disaffirm the contract at any time prior to reaching majority and for a reasonable
time after reaching majority
C. The contract is void
D. Philip can disaffirm the contract at any time prior to reaching majority and for a reasonable
time after Robert reaches majority

Q1. Which theory of ethics says that ethics is choosing the alternative that would provide the
greatest good to society ?
A. Kant Ethics
B. Utilitarianism
C. Ethical Egoism
D. Fundamentalism

Q2. Ethics are important because:

A. suppliers prefer to deal with ethical companies
B. customers prefer to deal with ethical companies
C. employees prefer to deal with ethical companies
D. all of the above choices

Q3. As per the structure of courts in UAE, what procedure is used in settling disputes in case of
unhappiness with the decisions of the lower court?
A. Fresh cases are filed in appellant court, if not satisfied will be taken to court of first instance,
then to court of cassation
B. Fresh cases are initiated in court of first instance, taken to court of cassation and then to
appeal courts
C. Cases are first brought to first instance, in case of unhappiness with the decision at this stage
the matter is taken to the appeal court, and if still not satisfied it is taken to Supreme Court.
 D. Cases once decided cannot be appealed to higher courts.

Q4. Which one of the following approaches to creating an ethical and socially responsible workplace
is likely to be the most powerful?
A. Passing out buttons with the statement "Just Say No to Bad Ethics"
B. Placing posters about ethics throughout the organization
C. Top management acting as models of the right behaviour
D. Including a statement about ethics and social responsibility in the employee handbook

Q5. The UAE government has made economic trade agreements with many countries in the world.
Are these agreements Laws? If so under which category they can be called as laws.
A. Constitutions
B. Statutes
C. Treaties
D. Administrative rules

Q6. One distinction between civil law and criminal law is:
A. Civil law can be created only by statute
B. Criminal law is completely procedural
C. Criminal law is concerned with breaches of duty to society at large
D. UAE constitution does not recognize civil laws

Q7. What is meant by the phrase CSR?

A. Corporate Social Responsibility
B. Company Social Responsibility
C. Corporate Society Responsibility
D. Company Society Responsibility

Q8. An employment advertisement announces opening for a job, but clearly states that people
above 50 years of age need not apply for the job or qualified personnel from only native English
speakers must only apply. Which law does this advertisement breaches.
A. Substantive law
B. Procedural law
C. Criminal law
D. Civil law

Q9. Which of the following is not an essential required in proving someone a criminal.
A. Existence of prior statutory prohibition
B. Proof beyond reasonable doubt
C. Defendants capacity
D. Dispute between a customer and a mobile selling company

Q10. One significant difference between the common law system and the civil law system is that
A. Courts in the civil law system do not have to consider legislation
 B. Courts in the civil law system are not bound by earlier interpretations of the Code
C. Judges in the civil law system are always elected
D. All cases in the civil law system are decided by at least three judges
E. Courts in the civil law system deal only with matters of public law

Q11. Under the theory of __________________, manufacturers and sellers are liable without regard
to fault.
A. strict liability
B. privity of contract
C. gross negligence
D. supervening cause

Q12. A person drives a car carelessly and causes severe damage to Mr. Khwabs car, in the process
Mr. Khwab suffers fracture in the leg. What wrong has been committed by the
driver. and what damages can Mr. Khalfan claim?..........
A. Tort of negligence, compensatory damages
B. Tort of negligence, punitive damages
C. Criminal case, compensatory damages
D. Criminal case, punitive damages

Q13. A tavern owner allows a patron to drink excessively. The patron then drives home, causing an
automobile accident that result in serious injuries to passengers of the other car. The tavern owner
may be liable for:
A. The tort of negligence
B. The tort of battery
C. The tort of assault
D. The tort of trespass
E. Breach of contract

Q14. The two broad categories of torts are:

A. Assault and battery
B. Assault and aggravated assault
C. Assault and negligence
D. Intentional and unintentional
E. Aggravated assault and battery

Q15. The doctrine of unintentional tort is commonly referred to as:

A. Negligence
B. strict liability
C. negligence per se
D. absolute liability

Q16. Suppose a driver who is driving over the speed limit negligently hits and injures a pedestrian
who is jaywalking. Assume further that the case is heard in a jurisdiction that recognizes the doctrine
of contributory negligence. If a jury determines that the driver is eighty percent responsible for the
accident and that the jaywalker is twenty percent responsible, and that the pedestrian suffered
$100,000 in damages, how much will the pedestrian recover from the driver?
 A. $20,000
B. $80,000
C. $100,000
D. Nothing

Q17. ________ holds that there are certain activities that can place the public at risk of injury, even
if reasonable care is taken, and that the public should have some means of compensation if such
injury occurs.
A. Res ipsa loquitur
B. Strict liability
C. Negligence
D. Qualified immunity

Q18. Strict liability was first imposed for:

A. negligence
B. white collar crimes
C. abnormally dangerous activities
D. contributory negligence cases

Q19. The zookeeper, who was also a trained veterinarian, was walking along a pedestrian path at the
zoo, and decided to clean up some trash. The zookeeper grabbed a nearby broom, and began
sweeping up the walkway. As the zookeeper swept the walkway, and while using due care, part of
the broom broke off and dropped onto the pedestrian walkway. Joe tripped over the broken broom,
suffering injuries. The broom broke due to a manufacturing defect that the zookeeper could not
have detected. If Joe sues the zookeeper for strict liability in tort, strict products liability, and for
malpractice, what is the likely result?
A. Joe will succeed with the strict products liability claim, but not with the strict liability in tort
or malpractice claims.
B. Joe will not succeed on any of his claims.
C. Joe will succeed with the strict products liability and strict liability in tort claims, but not with
the malpractice claim.
D. Joe will succeed with all of his claims.

Q20. Andy taunted Nandy, because Nandy was significantly smaller than Andy. On one occasion,
Andy waited for Nandy to walk into a fenced area, and then closed the gate of the fence behind
Nandy. Andy then swung a sturdy tree limb at Nandy, while yelling that he, Andy, was going to drive
the tree limb through Nandys chest. The tree limb accidently flew out of Andys hands, and struck
Nandy, causing physical injury to Nandy. After the accident, Andy yelled at Nandy, Nandy, you are a
worthless electrician, and not worthy of the profession. Curly heard the statement by Andy, but
believed Nandy to be a quality electrician. Nandy sued Andy in an effort to recover medical
expenses, expenses for pain and suffering, lost wages and punitive damages. For which of the
following causes of action would Nandy be least likely to recover punitive damages against Andy?
A. Defamation
B. Negligence
C. Assault
D. False imprisonment
Q21. Which of the following are the obligations which do not necessarily spring from an agreement?
I. Torts or civil wrongs
II. Judgments of Courts
III. Quasi contracts
IV. Contingent contract
A. I & II
B. I , II & III
C. I , II & IV
D. All of the above

Q22. Choose the correct statement:

A. Oral contracts are not binding on either party to the agreement
B. Oral contracts are, as a general rule, equally binding and enforceable as are the written
contracts
C. Oral contracts are considered unenforceable by the law as a general rule of law
D. All of the above statements are incorrect

Q23. The correct sequence in formation of a contract is:

A. Offer, acceptance, consideration, agreement
B. Offer, Consideration, acceptance, agreement
C. Agreement, consideration, offer, acceptance
D. Offer, acceptance, agreement, consideration

Q24. Which of the following statements about minors agreements is not true?
A. A minor can be appointed as an agent
B. An agreement with or by a minor is void
C. A minor can become a partner in a firm
D. A minor cannot be adjudicated insolvent

Q25. When a contract is breached, the party who suffers such breach shall:
A. Be indemnified for the loss or damage caused to him
B. Receive compensation for any loss or damage caused to him
C. Be remunerated for the loss or damage caused to him
D. Not have any right under the Contract

Q26. A contract to pay B AED 10,000 if B's house is burnt the contract is
A. Simple Contract
B. Wagering Contract
C. Conditional Contract
D. Contingent Contract

Q27. Where a promisor has made an offer of performance to the promisee and the offer has not
been accepted:
 A. The promisor is responsible for non-performance, but he does not lose his rights under the
contract.
B. The promisor is not responsible for non-performance, nor does he thereby lose his rights
under the contract.
C. The promisor is not responsible for non-performance, but he loses his rights under the
contract
D. The promisor can enforce the performance of the promise.

Q28. Which of the following rules regarding acceptance is true?

I. The acceptance must be communicated to the offeree
II. Acceptance cant precede an offer
III. Mere silence is not an acceptance
IV. The acceptance must be absolute and unqualified
A. I & II
B. I , II & III
C. I , II & IV
D. II , III & IV

Q29. ____________________ means the intentional abandonment of a right which a person is

entitled to.
A. Remission
B. Waiver
C. Rescission
D. Novation

Q30. The main difference between Fraud and Misrepresentation is that, in fraud:
A. The aggrieved party can rescind the contract and can also sue for damages
B. There must be a representation and it must be false
C. The representation must have been made before the conclusion of the contract
D. The other party must have relied upon the representation

Q31. The communication of an offer is completed only when it reaches the:

A. Offeror
B. Promisee
C. Offeree
D. Promisor

Q32. A enters into a taxi request the driver to drive. The driver accepts it and took him. Is
there any contract here? If so, what type of contract?
A. No contract
B. Executory contract
C. Implied contract
D. Express contract

Q33. A proposal cannot be revoked:

 A. By the communication of notice of revocation by the proposer to the other party.
B. By the failure of the acceptor to fulfil a condition precedent to acceptance.
C. By the lapse of the time prescribed in such proposal for its acceptance.
D. By an act involving immorality of the proposer, whether related to the proposal or
otherwise.

Q34. Coercion, Fraud and misrepresentation makes contract

A. Void of the option of the party whose consent was caused
B. Voidable on the option of the party whose consent so caused
C. Valid for both sides
D. None of above

Q35. When can a proposal be revoked:

A. Once a proposal is made, it cannot be revoked.
B. Any time before or after the communication of acceptance is complete.
C. Any time before the communication of its acceptance is complete as against the proposer,
but not afterwards.
D. Any time before the proposal comes to the knowledge of the other party, but not
afterwards.

Q36. Which of the following feature is not essential for a contract?

A. It should be in writing only.
B. Free consent of parties competent to contract.
C. Lawful consideration and with a lawful object.
D. It should not be declared void expressly.

Q37. Which of the following act does not constitute fraud?

A. Where a person stands in a fiduciary relation with the other and induces the other person to
act on his directions.
B. The active concealment of a fact by one having knowledge or belief of the fact.
C. A promise made without any intention of performing it.
D. The suggestion as a fact, of that which is not true, by one who does not believe it to be true.

Q38.If any part of a single consideration for one or more objects, or any one or any part of any one
of several consideration of a single object is unlawful, then:
A. Only that object shall be held void but the agreement shall be valid.
B. The agreement shall be void.
C. The agreement shall be voidable at the option of either party to the agreement.
D. The agreement is still considered valid.

Q39. An old illiterate lady signed a check believing that she was signing an authorization letter in
favour of her son. Is this a valid agreement, why?
A. No, there is no consent
B. No, there is no consideration
C. Yes, there is consent
D. Yes there is consideration
Q40. A made an agreement with B to give one million pound for killing X. Here the agreement is
void because:
A. Illegal object
B. No meeting of mind
C. Impossible to perform
Consideration is unlawful (illegal)