Which of the Following Obligations Is Not One That a Credit

question 13

Multiple Choice

Which of the following obligations is not one that a credit provider must generally comply with if it wishes to enforce a credit contract?

• A)To serve a default notice on the debtor.
• B)To obtain a court order before repossessing mortgaged goods.
• C)To serve appropriate notices after taking possession of goods or selling them.
• D)To offer to vary the interest rate and charges to make them more manageable for the debtor.

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Definitions:

Civil Law

A legal system based on written codes of law, predominantly used in countries influenced by the European continental system.

Criminal Law

The branch of law that defines and punishes wrongful actions committed against the public.

Legal Positivism

A school of legal thought centered on the assumption that there is no law higher than the laws created by a national government. Laws must be obeyed, even if they are unjust, to prevent anarchy.

Natural Law

The oldest school of legal thought, based on the belief that the legal system should reflect universal (“higher”) moral and ethical principles that are inherent in human nature.