The final court of appeal for a number of commonwealth countries is the
- A . Crown Court.
- B . High Court.
- C . Judicial Committee of the Privy Council.
- D . Supreme Court.
The Marine Insurance Act 1906 is an example of
- A . a codifying act.
- B . delegated legislation.
- C . international legislation.
- D . a retrospective act.
A ‘litigation friend’ (‘next friend’) is responsible for litigation costs awarded against a claimant who is a
- A . bankrupt.
- B . company.
- C . partnership.
- D . minor.
The rule in Rylands v Fletcher may apply when there is
- A . a defamatory statement.
- B . fault or negligence by the defendant.
- C . a negligent misstatement.
- D . an escape of a dangerous thing from the defendant’s land.
For which tort is the claimant never required to prove that he has suffered loss or damage?
- A . Negligence.
- B . Nuisance.
- C . Slander.
- D . Trespass.
Katy’s mother bought her an iron, which turned out to be defective and caused a fire. It resulted in damage to Katy’s personal property amounting to £500 and also caused severe burns to Katy’s right hand.
In order to achieve a recovery at law, which legal action should be pursued?
- A . Katy’s mother should sue the seller in tort based on the principle of negligence.
- B . Katy should sue her mother based on the principle of vicarious liability.
- C . Katy should sue the manufacturer based on the provisions of the Consumer Protection Act 1987.
- D . Katy should sue the seller for breach of contract in selling a defective electrical product.
An insurance policy would be illegal and void if it is
- A . an employer’s liability policy for a company without any employees.
- B . a household contents policy insuring a gun collection.
- C . a products liability policy covering fines for health and safety breaches.
- D . a marine cargo policy taken out by a person who is not the owner of the cargo.
With regard to formation of a contract, consideration must always be a
- A . benefit to the person receiving it or a detriment to the person giving it.
- B . detriment to the person receiving it or a benefit to the person giving it.
- C . benefit to both the person giving it and the person receiving it.
- D . detriment to both the person giving it and the person receiving it.
Adam had a contract with a specialist storage company to store some valuable paintings, but damp storage conditions resulted in damage to the paintings. Although Adam’s contract did NOT expressly state the storage requirements had to be suitable, he successfully sued the storage company on the basis that the contract terms were implied
- A . by custom.
- B . by promissory estoppel.
- C . in fact.
- D . in law.
An insurance broker grants cover for motor insurance to a 21-year-old proposer. However, the broker’s authority is restricted to only granting cover to drivers aged 23 years and over.
What basis, if at all, is the insurer bound to cover the 21-year-old?
- A . Agency by estoppel.
- B . Apparent authority.
- C . Implied actual authority.
- D . The insurer is not bound.
Whilst Tim was on holiday, unknown to him his agent made a contract on his behalf. Tim is happy to ratify the contract but he does want to change a minor term. The services under the contract are scheduled to be carried out next week.
What is the legal position regarding ratification of the contract?
- A . Tim cannot ratify the contract as it was made without his knowledge.
- B . Tim cannot ratify the contract excluding the minor term as the whole contract must be ratified.
- C . Tim can ratify the contract and change the term as it is only a minor term.
- D . Tim can ratify the contract and change the minor term if this is done within reasonable time.
Alice acted as an agent for Ted in a house clearance sale and has successfully claimed commission by implied agreement. What does this indicate about the commission?
- A . It was agreed as it was based on a verbal agreement.
- B . It was agreed as it was detailed in an agency contract.
- C . It was not agreed, but Alice had a lien on Ted’s property.
- D . It was not agreed, but Alice’s work was in her usual line of business for which she would normally be paid.
In respect of consumer insurance contracts, the duty of utmost good faith means that the
- A . broker has a duty to the proposer to find the widest coverage at the best price.
- B . broker and the insurer have a duty of confidentiality regarding contract information.
- C . proposer has a duty to disclose all material facts relating to the contract.
- D . proposer and the insurer have a duty to deal honestly and openly in negotiations leading to formation of the contract.
Stuart has a joint mortgage with his wife of £60,000 and a personal loan of £5,000, but no other debts. How much insurable interest does his wife have in his life?
- A . A maximum of £30,000.
- B . A maximum of £60,000.
- C . A maximum of £65,000.
- D . An unlimited amount.
A proposer for property insurance did NOT inform the insurer that his business premises were protected by a burglar alarm. What are the implications, if any, of this omission once the insurer is on risk and the premium is paid?
- A . None, as it is a factor that lessens the risk.
- B . The insurer is obliged to refund a proportion of the premium.
- C . The insurer can avoid the policy for non-disclosure.
- D . The insurer is obliged to quote revised premium terms to the proposer.