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1. General Construction Incorporated (GCI) hires A-1 Contractors Incorporated to

ID: 2733184 • Letter: 1

Question

1. General Construction Incorporated (GCI) hires A-1 Contractors Incorporated to work at a construction site as an independent contractor. Whether GCI will be held liable for torts committed at the site by A-1 depends on

who is paying A-1.

whether A-1 submitted a bid for the job.

whether exceptionally hazardous activities are involved.

none of the other answers.

2. Bob contracts with Computerama Incorporated to develop a new computer game. Computerama does not withhold taxes from his pay or control his work methods. Bob claims the game's copyright, which Computerama also claims. In the parties' suit, the court is most likely to rule in favor of

Computerama, because Bob is its employee.

Computerama, because it distributes the game.

Bob, because he is an independent contractor.

Bob, because he created the game.

3. Wendy hires Jen, a real estate broker, to sell Wendy's land for $10,000. Oil is discovered beneath the land, causing the market value to increase one hundred-fold. The existing agency agreement is likely

terminated by operation of law.

in force until Wendy gives Jen additional consideration.

in force until Jen discusses the oil with prospective customers.

terminated by mutual consent of the parties.

4. Bob is an agent for Computer Associates Incorporated. The party who may ratify an unauthorized contract entered into by Bob, purportedly on Computer Associate's behalf, is

Bob or Computer Associates.

Computer Associates only.

none of the other answers.

Bob only.

A.

who is paying A-1.

B.

whether A-1 submitted a bid for the job.

C.

whether exceptionally hazardous activities are involved.

D.

none of the other answers.

Explanation / Answer

Since A-1 is an independent contractor, he need to indemnify the company for the damages if any, incurred by the company due to torts committed by him.

Bob, because he is an independent contractor

In the given case, Bob contracted with Computerama to develop a computer game. Unless contract provides for transfer of copyright, Computerama is not entitled to have copyright over the game. The copyright need to be transferred by the owner , if not; transfer of copyright is not automatic

Hence copyright will be with Bob,(the creator or the owner) until it is transferred by him

3.   Wendy hires Jen, a real estate broker, to sell Wendy's land for $10,000. Oil is discovered beneath the land, causing the market value to increase one hundred-fold. The existing agency agreement is likely

     Terminated by mutual consent of the parties

    The contract cannot be automatically terminated. Where there is a change in value of land, It at the discretion of owner to change the terms of contract depending on mutual consent of parties

Computer Associates only.

Bob is an agent of Computer Associates Incorporated. Bb executes contracts on behalf of Computer Associates Incorporated. Hence any deed done by Bob on behalf of Computer Associates Incorporated can be ratified only by Computer Associates Incorporated