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ATD 1

Free Law & Ethics revision questions and answers

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Try our free Law and Ethics revision questions and answers to explore key legal and moral principles. Learn at your own pace, then go premium for deeper insights and expert explanations!

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Category: Law and Ethics Practice Questions

1. Which of the following is not a component of public land?

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Category: Law and Ethics Practice Questions

2. In reference to general defense in tort, volenti non-fit injuria holds that :

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Category: Law and Ethics Practice Questions

3. TRUE or FALSE: If goods are recovered from a hirer after he/she has paid two-thirds of the price before the termination of the hire purchase agreement, the hirer is released from liability and can recover from the owner by suit all sums paid by him/her.

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Category: Law and Ethics Practice Questions

4. Which of the following is not a right guaranteed by the Constitution in Kenya?

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Category: Law and Ethics Practice Questions

5. TRUE or FALSE: A mere listing of ingredients is not protected under copyright law.

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Category: Law and Ethics Practice Questions

6. Tort law deals with civil suits, except for disputes involving:

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Category: Law and Ethics Practice Questions

7. Which of the following factors may a court consider when applying judicial precedent?

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Category: Law and Ethics Practice Questions

8. Which of the following statements about the appointment of arbitrators is/are true?

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Category: Law and Ethics Practice Questions

9. In reference to criminal and civil law, which of the following statements is/are not true?

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Category: Law and Ethics Practice Questions

10. In bills of exchange, a (i) ______ refers to the payee of the instrument, while a (ii) ______ is a person who obtains the instrument bona fide for consideration before maturity.

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Category: Law and Ethics Practice Questions

11. The _______ is a legal doctrine that obligates courts to follow historical cases when making rulings on similar cases.

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Category: Law and Ethics Practice Questions

12. In reference to the hire purchase agreement,(i)________refers to a requirement or event that should be performed before the completion of another action, whereas a (ii)__________is an assurance given by the seller to the buyer about the state of the product, that the prescribed facts are genuine.

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Category: Law and Ethics Practice Questions

13. In the insurance industry, an __________ contract requires the highest standard of good faith during disclosure of all material facts.

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Category: Law and Ethics Practice Questions

14. An agent who sells goods in his possession and under his control on behalf of his principal is called:

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Category: Law and Ethics Practice Questions

15. (i) ______ privity arises when benefits in a contract are given to another party not part of the original contract, whereas (ii) ______ privity may be raised when another contract arises from one of the parties.

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Category: Law and Ethics Practice Questions

16. Mark drew a cheque for USD 4,400/= in favor of Michael, who fraudulently altered the amount to USD 440,000/=, and sold (negotiated) it to Thomas who negotiated it to Simon. Here, Simon can enforce it against:

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Category: Law and Ethics Practice Questions

17. An agency is created when:

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Category: Law and Ethics Practice Questions

18. TRUE or FALSE: In reference to a lien as a right of an unpaid seller, the lien is exercisable where the goods have been sold on credit but the terms of credit have expired.

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Category: Law and Ethics Practice Questions

19. In reference _______ jurisdiction refers to the power of a court to hear criminal or civil cases from within a defined geographical area.

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Category: Law and Ethics Practice Questions

20. Which of the following statements about bill of exchange and promissory note are not true?

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Category: Law and Ethics Practice Questions

21. TRUE or FALSE: Under Free alongside ship (FAS) contracts, the seller is responsible for ensuring that the goods are cleared for export, while the buyer is responsible for the costs of reloading goods, ocean transportation, and insurance.

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Category: Law and Ethics Practice Questions

22. Which of the following statements about using judicial precedents as a source of law is false ?.

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Category: Law and Ethics Practice Questions

23. Advocates and insurance agents are examples of:

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Category: Law and Ethics Practice Questions

24. In reference to alternative dispute resolution,(i)_________is a method of dispute resolution in which parties settle their conflict and reach an agreement through discussion, whereas (ii)_________is a method of dispute resolution in which an independent third party assists the parties to conflict in resolving their disputes.

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Category: Law and Ethics Practice Questions

25. Sans recours (without recourse) means that:

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Category: Law and Ethics Practice Questions

26. Fahari sold goods to Salome for USD 20,000, but her cheque was dishonored by the bank. Fahari is a:

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Category: Law and Ethics Practice Questions

27. TRUE or FALSE: In reference to copyright law, fair use allows for the use of protected works without prior authorization in specific cases.

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Category: ATD 1-Introduction to Law & Ethics

28. In natural justice, Nemo Judex in causa sua means that__________.

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Category: Law and Ethics Practice Questions

29. TRUE or FALSE: Arbitration agreements are treated as separate from the underlying contract and survive the contract's termination.

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Category: Law and Ethics Practice Questions

30. Under _________ contracts, the seller has to deliver the goods to the buyer at the port of destination, but the property in the goods does not pass until actual delivery, and the goods are at the seller's risk during the voyage

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Category: Law and Ethics Practice Questions

31. A fiduciary is:

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Category: Law and Ethics Practice Questions

32. The ________rule holds that ,where there has been an escape of a dangerous thing in the course of a non-natural use of land, the occupier of that land is liable for the damage to another caused as a result of the escape, irrespective of fault.

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Category: Law and Ethics Practice Questions

33. (i) ______ bailment is when the bailor transfers property to bailee without compensation.

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Category: Law and Ethics Practice Questions

34. Malia was attacked by Suleiman and believing she was in imminent danger, used reasonable force to defend herself. In the process, she broke Suleman's arm and Suleiman sued her. What type of general defense can Malia apply?

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Category: Law and Ethics Practice Questions

35. In reference to guarantees in business, (i) __________implies that goods are delivered for no payment but with an agreement (written or oral) that may include any security against payment discharge at a later date, whereas under(ii)._________, the surety pays the amount specified in the contract if the person to whom the guarantee is given fails to discharge the contract.

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Category: Law and Ethics Practice Questions

36. A partner cannot recover the premium paid when a partnership is prematurely dissolved if:

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Category: Law and Ethics Practice Questions

37. The insurance principle of subrogation:

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Category: Law and Ethics Practice Questions

38. Which of the following is not a party to a contract of guarantee?

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Category: Law and Ethics Practice Questions

39. The concept of agency by ________arises where one person acts in such a way that the other believes that a third person is authorized to act on his behalf and enters into a transaction with the third person.

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Category: Law and Ethics Practice Questions

40. Which of the following is/are not rule(s) that govern the application of stare decisis?

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Category: Law and Ethics Practice Questions

41. Luka found a document signed by Stephano promising to pay Sila USD 50,000 “on demand or order for value received”. Identify the name of the document:

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Category: Law and Ethics Practice Questions

42. TRUE or FALSE: A freehold title deed generally has no restriction as to the use or occupation.

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Category: Law and Ethics Practice Questions

43. __________refers to temporary postponement of the payment of an outstanding bill or debt, usually involving repayment by installments.

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Category: Law and Ethics Practice Questions

44. Which of the following is not a defense?

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Category: Law and Ethics Practice Questions

45. In the application of judicial review, a (i).________refers to a writ issued by the Supreme Court or any High Court for quashing the order already passed by an inferior court, tribunal, or quasi-judicial authority, whereas a (ii). _________refers to a writ issued as a command to an inferior court or ordering a person to perform a public or statutory duty.

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Category: Law and Ethics Practice Questions

46. Which of the following cannot justify a public officer receiving a gift?

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Category: Law and Ethics Practice Questions

47. Which of the following is not a feature of an unincorporated association?

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Category: Law and Ethics Practice Questions

48. The objective of a legal audit is to:

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Category: Law and Ethics Practice Questions

49. Any legal interest in premises that is not terminable at the will of the landlord or at the time the tenant takes possession is referred to as:

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Category: Law and Ethics Practice Questions

50. In reference to bills of exchange, which of the following statements is not true?

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Frequently asked Q&A

What is law?

Law refers to a set of rules established by a governing authority to regulate human conduct and ensure order, justice, and fairness in society.

What is the main purpose of studying law in business?

The study of law helps students understand their rights, duties, and liabilities in business operations, ensuring compliance and minimizing legal risks.

What are the main sources of law?

The main sources include:
• The Constitution – the supreme law.
• Legislation (Statutes) – laws enacted by Parliament.
• Common Law (Case Law) – developed through judicial decisions.
• Customs and Conventions – traditional practices accepted as law.
• Subsidiary Legislation – rules made under the authority of a statute.

What is ethics?

Ethics refers to moral principles and values that guide behavior and decision-making, distinguishing between right and wrong actions.

Why are ethics important in accounting and business?

Ethics promote integrity, transparency, fairness, and accountability, essential for maintaining public trust in financial reporting and professional practice.

What is the rule of law?

The rule of law means that no one is above the law, and all individuals and institutions must act in accordance with legal principles.

What are the key principles of professional ethics?

• Integrity – being honest and straightforward.
• Objectivity – avoiding bias or conflict of interest.
• Professional Competence – maintaining knowledge and skills.
• Confidentiality – protecting client information.
• Professional Behavior – complying with laws and avoiding misconduct.

What is the role of ethics in decision-making?

Ethics help professionals evaluate actions not only based on legality but also on fairness, honesty, and societal impact, crucial for ethical leadership.

What is the difference between law and ethics?

Law consists of enforced rules created by governments, while ethics are moral principles of right and wrong that are not legally binding but are guided by personal conscience or professional codes.

How can students prepare effectively for the Law and Ethics exam?

• Review key definitions and legal terms regularly.
• Practice true/false and multiple-choice questions on each topic.
• Study real-world ethical dilemmas and case examples.
• Understand the relationship between law, morality, and professional conduct.

Law and Ethics revision

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