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CIPS L4M3 Actual Questions

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Total 196 questions

Commercial Contracting Questions and Answers

Question 37

EAC Facilities Management is planning for a new construction project in the suburban area. They decide to use NEC or FIDIC model form of contract for this project. Is this a right course of action?

Options:

A.

Yes, these forms aim at balanced risk/reward allocation between the parties

B.

No, the buyer will bear all the risks derived from the contract

C.

Yes, using these forms will eliminate all the risks

D.

No, the contractor won't understand the legal terminology in the contract forms

Question 38

The contracts manager at a newly established private transport agency, Travel Response Services (TRS), has been asked to draft a set of standard terms and conditions that will protect customers’ personal information when it is passed to sub-contracted suppliers by TRS. Which standard clause would be best suited for this?

Options:

A.

An intellectual property rights clause

B.

An invoicing and payment clause

C.

A corporate social responsibility clause

D.

A confidentiality and use of data clause

Question 39

A retailer prefers to display its best selling products and promotion programme on the building windows. According to rule of contract formation, this act will generally constitute...?

Options:

A.

An invitation to treat

B.

A legal capacity

C.

An offer

D.

A mailbox rule

Question 40

Which of the following is the procedure that makes no further competition under a framework agreement?

Options:

A.

Closed system

B.

Direct call-off

C.

Standing offer

D.

Blanket order

Page: 10 / 15
Total 196 questions