True/False
Indicate whether the sentence or statement is true
or false.
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1.
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A
mechanic's lien can be enforced to obtain payment for work that adds value to personal
property.
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2.
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A
creditor with a mechanic's lien on property can sell the property to satisfy the debt.
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3.
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A
debt does not have to be past due before a creditor can begin legal action against a
debtor.
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4.
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An
artisan's lien is effective only if a creditor has possession of the property.
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5.
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An
attachment is a court-ordered seizure and taking into custody of property prior to the securing of a
judgment for a past-due debt.
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6.
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If a
debtor will not pay a judgment, a creditor can only resort to "self-help" to
collect.
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7.
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A
court may not order an employer, as a result of a garnishment proceeding, to turn over a
debtor-employee's property to pay a debt.
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8.
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The
law limits the amount of money that can be garnished from a debtor's weekly take-home
pay.
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9.
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A
mortgagee has the right to seek a judicial sale of the mortgaged property on the mortgagor's
default.
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10.
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To
foreclose on real property securing a mortgage, the mortgagee must ask a court for a deficiency
judgment.
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11.
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A
surety is secondarily liable on an obligation.
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12.
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A
surety becomes primarily liable only when a debtor cannot pay a debt.
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13.
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A
contract of suretyship must be in writing to be enforceable.
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14.
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Under
a guaranty contract, the guarantor is permitted to be responsible for only a single
transaction.
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15.
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Before the guarantor of a debt can be required to answer for the debt of a
debtor, the debtor must have defaulted on the underlying obligation.
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16.
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A
release by the creditor of the principal debtor, without the consent of the surety, will, without
more, release the surety.
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17.
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If
the debtor offers to pay the debt owed to a creditor but the creditor refuses the tender, the surety
remains obligated on the debt.
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18.
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Certain types of property are exempt from levy of execution or
attachment.
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19.
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Homestead exemptions are designed to permit debtors to retain some part or all of the
value of their homes, free from the claims of some creditors.
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20.
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Personal possessions are not usually included in state exemption
statutes.
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