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A bankrupt must disclose his status if he wants to obtain…

• a credit of 250 pounds or more
• a credit of more than 50 pounds sterling
• a credit

A company which develops a new product, protects this invention … 

• by a patent
• by a share certificate
• by an insurance policy

A consent of the principal …

• must be given in written form
• can be verbal, in writing or by deed
• is to be given by deed

A director of a public company can be disqualified…

• by the court
• by the annual meeting of shareholder
• by a majority shareholder

 

A holder of bearer shares becomes a member of the company…

• if Articles of the company allow that
• automatically
• according to the decision of the directors of the company

A mortgage can be set aside …

• if the presumption of undue influence has been rebutted in the Court
• can never be set aside
• if it has been obtained by undue influence

A mortgage is void against a subsequent purchaser …

• if it is legal without title deed
• if it is not registered in the Land Charges Registry
• if it is not legal

A person cannot be a partner if…

• it is a limited company
• he or she is an enemy alien
• he or she is a minor

A separate legal person is created in setting up business as…

• a partnership
• a registered company
• a sole trader

A shareholder has the right…

• to receive a proportion of the profits of the company
• to sell the assets of the company
• to give instructions to the directors of the company

 

A shareholder of a public company can sell his shares freely…

• if majority shareholder gives his consent
• if the shares are dealt with on the Stock Exchange or the AIM
• if other shareholders agree

A statement of law is binding for future similar disputes if…

• it forms the basis of the decision
• is made by the way
• it is based on a hypothesis

A subsidiary company is owned…

• by a holding company
• by a sole trader
• by a partnership

According to the contract, the goods must be transferred …

• for other goods
• for securities
• for money

Agency of necessity can arise on condition that …

• there is some emergency
• there are no pre-existing contracts giving the agent responsibility for the property of another
• the person charged with responsibility can get instructions from the owner of the property

Allowing water to escape from reservoirs is a tort affecting .

• property
• economic rights
• general rights

An employer must make a redundancy payment to an employee who has been employed …

• for two years
• for a month
• for a year

An employer must make a redundancy payment to an employee who has been employed …

• for two years
• for a month
• for a year

Carrying on an offensive trade, obstructing the highway is …

• private nuisance
• public nuisance
• trespass to land

Choose the right ending of the sentence

• General agents have …
• unlimited authority
• authority to act within certain limits
• authority for a specific purpose

Choses capable of negotiation are classified as negotiable instruments and include …

• bills of exchange
• postal orders
• bills of lading

Companies limited by shares are usually set up for…

• trading purposes
• charitable purposes
• educational purposes

Contracts for the sale of goods include …

• agreements to sell
• contracts of bailment
• contracts for hire of goods

Contracts for the sale of goods include …

• agreements to sell
• contracts for hire of goods
• contracts of bailment

Directors of a public company can be appointed…

• at any age
• at the age under 70
• at the age under 60

Dismissal of an employee is considered fair if the reason is …

• that the employee is a member of an independent trade union
• redundancy
• pregnancy

Employees are entitled to notice which could be a month …

• for senior clerical workers
• for senior managers
• for other managers

Fiduciary duties are owed …

• by employees to their employers
• by sales clerks to the customers
• by buyers to sellers

Fiduciary duties of employees are implied into a contract of employment…

• by the common law
• by statute
• are not implied

is published in…

• the Financial Times
• the London Gazette
• the Business Week

 

If a minority shareholder does not agree with the majority…

• the majority must agree with him
• the court will support him
• he must accept the decision of the majority

If a partner secretly carries on a competing business, he…

• will be expelled
• must sell that business
• must pay to the firm all profits made by him in that business

If the principal refuses to ratify the transaction, …

• the principal will be liable for damages
• no one will be liable for damages
• the agent will be liable for damages

In a bankruptcy the estate of an insolvent person passes…

• into the control of the bankruptcy court
• into the control of the creditors
• into the control of a trustee

In case of trespass to land the duty is owed …

• to the possessor if he is the owner
• to the possessor even if he is not the owner
• to the owner

Leasehold estate which incudes the renewable yearly lease is …

• the “term of years”
• the “estate at will”
• the “estate by sufferance”

Legal rights attach to…

• natural and artificial persons
• natural persons only
• corporations only

Negligence is an actionable wrong affecting …

• the person
• general rights
• property

Partnership can be set up between persons carrying on a business…

• only for receiving profits
• for any purpose
• for charitable purpose

Preference shareholders have the right…

• to receive a fixed dividend prior to ordinary shareholders
• to receive an unlimited dividend
• to receive surplus assets

 

Private limited companies cannot raise money…

• by selling shares
• by inviting other members
• by making loans

Public limited companies can have…

• two directors
• no directors
• one director

Ratification of the contract can be possible if …

• it concerns a part of the contract
• the contract is not void or a forgery
• it takes place after the time fixed for the performance of the contract

Sole trader…

• is liable for all his debts
• shares losses with the people he employs
• has limited liability

Supervising trading practices is one of the main duties of…

• the Monopolies and Mergers Commission
• the Director General of Fair Trading
• the Consumer Protection Advisory Committee

The bankruptcy order is published in…

• the Financial Times
• the London Gazette
• the Business Week

The bankruptcy petition can be presented by…

• the trustee
• a creditor
• a magistrate

The capital clause of the Memorandum states…

• the capital assets
• the authorized capital
• the actual capital raised

The Department of Trade and Industry may appoint inspectors…

• on the application of 100 shareholders
• on the application of 1 shareholder
• on the application of members holding not less than one tenth of the shares.

The East India Company was created…

• under Companies Act
• by Royal Charter
• by special Act of Parliament

 

The employer must provide written statement of the following terms …

• provision of safe tools and equipment
• pension rights
• maternity rights

The following products are excluded from liability under the Consumer Protection Act:

• unprocessed game
• vapours
• electricity

The highest court of appeal in Britain is…

• House of Lords
• Civil Court of Appeal
• Criminal Court of Appeal

The loan agreement provides for repayment of loan plus interest …

• at any time subject to no restrictions
• at any time subject to reasonable restrictions
• exactly by the legal date of redemption

The major source of the English law which takes precedence over the others is…

• legislation
• European Community law
• case law

The Monopolies and Mergers Commission consists of…

• three members
• not less than 10 members
• not more than 30 members

The mortgagor may create …

• second and subsequent mortgages over the same property
• not more than two mortgages over the same property
• only one mortgage over the same property

The power to order that a merger shall not go ahead lies with…

• the Secretary of State
• the Director General of Fair Trading
• the Monopolies and Mergers Commission

The Register of the Company must be kept…

• at the registered office
• in the office of the CEO
• in the residence of the majority shareholder

The rights of inheritance are unrestricted in case of …

• fee tail estate
• life estate
• fee simple estate

 

The secretary of a private company…

• must have work experience as a company secretary
• need not have any personal qualifications
• must be qualified as a chartered secretary, an accountant or a lawyer

The term “goods” includes all “chattels personal” that are …

• tangible
• immovable
• intangible

The transfer of property to the buyer is the main purpose …

• of the contract for the sale of goods
• of the contract for labor and materials
• of the contract for service

Things which are capable of physical possession are included into …

• incorporeal property
• tangible property
• intangible property

To control rogue dealers, the DG may bring proceedings…

• in the Restrictive Practices Court
• in the Crown Court
• in the High Court

To take part in the management of a registered company, a bankrupt must get…

• the creditors’ consent
• the trustee’s consent
• the court’ consent

Trading in a name similar to that of another similar business affects …

• reputation
• economic rights
• general rights

When the land is owned by a company,…

• there must be registration of both legal and equitable mortgages
• there must be registration of the equitable mortgage
• registration of a mortgage is not necessary