Introductory Business Law CLEP Prep Practice Exam

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Prepare for the Introductory Business Law CLEP Exam. Study with flashcards and multiple choice questions, each question comes with hints and explanations. Ace your exam with confidence!

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In a contract dispute, what type of court may give a non-binding opinion on what the outcome should be?

  1. Civil Court

  2. Appellate Court

  3. Arbitration Court

  4. Small Claims Court

The correct answer is: Arbitration Court

Arbitration Court is the correct answer because it is a type of alternative dispute resolution where an impartial third party (arbitrator) helps to resolve the dispute. This option was chosen over the other choices because civil court is not specifically designed for contract disputes and may involve lengthy and expensive litigation processes. Appellate court only reviews decisions made by lower courts and does not provide opinions on the outcome. Small claims court may not have jurisdiction over all contract disputes and typically has limited monetary awards.