Nate Wanted to Rent a Car

question 37

Multiple Choice

Nate wanted to rent a car.The attendant gave him a standard form agreement to sign.She asked him to sign three places.She indicated that his signatures were concerned with exclusion clauses, but she did not explain the content of those clauses.Nate signed without anything else being said.If Nate breeches one of these exclusion clauses, which of the following is most likely to be TRUE?

• A)Since the document contains the parties' contract, the exclusion clauses would be enforceable against Nate even if he did not sign.
• B)Regardless of any other facts, the exclusion clauses became enforceable as soon as Nate signed the document.
• C)A court may refuse to enforce the exclusion clauses even though Nate signed beside them.
• D)The exclusion clauses will be enforced unless neither party personally knew about their details.
• E)To prevent unfairness, the courts never enforce exclusion clauses that are contained in standard form contracts.

---

Definitions:

Projections and Estimates

Forward-looking statements about future financial performance, often based on assumptions or expectations.

Prime Costs

The direct costs of manufacturing a product, specifically direct materials and direct labor.

Direct Materials

Raw materials that can be directly traced to the manufacturing of a product and are considered a variable cost.

Direct Labor

The cost of wages paid to workers directly involved in the production of goods or provision of services.