Chapter 9 - Buss Law

Which of the following is, in effect, not a contract at all?

A void contract.

In an auction _____, the seller is treated as making an offer to accept the highest bid.

with out reserve

An offeror can revoke the offer at any time -- even after acceptance

False

Caveat is defined as the bargained-for exchange.

False

Contractual obligation is the legal ability to enter into a binding agreement.

False

The two primary sources of contract law are the Uniform Commercial Code and Restatement of Contracts.

False

Which of the following is true regarding the Uniform Commercial Code?

It became the law in each state that adopted it in whole or in part and state laws differ somewhat.

Which of the following is true regarding when an offeree rejects an offer?

Regardless of how long an offeror states that an offer will be held open, once the offeree rejects it, the offer is terminated.

An invitation to negotiate or an expression of possible interest in an exchange is not an offer.

True

Contracts can be classified as either bilateral or unilateral.

True

The part of the Uniform Commercial Code that governs contracts for the sale of goods is Article

2

In which of the following ways may an offeree accept a unilateral contract

By performance.

Which of the following have all their terms clearly set forth in either written or spoken words?

Express contracts

A tort is a set of legally enforceable promises.

False

An agreement consists of an offer by one party; an agreement does not require acceptance of the terms by the other party

False

In an express contract, all terms of the agreement must be clearly set forth in writing.

False

Lack of genuine assent is a requirement for an enforceable contract.

False

If the subject matter of an offer becomes illegal, what is the result?

The offer immediately terminates.

Which element of a contract requirements that a contract not be either illegal or against public policy?

Legal Object

Mary offers $100 to anyone who can return her lost dog, Curly. Bob returns the dog and requests the money. Mary says that there is no binding contract. Which of the following is true regarding Mary's statement?

Mary is incorrect because there is a binding unilateral contract that Bob accepted by performing.

Which of the following is a measure of recovery when a quasi-contract is involved?

The fair market value of the matter involved.

Which of the following refers to the right of an offeror to revoke an offer?

The offeror is the "master of his offer."

A contract is a promise or set of promises for the breach of which the law gives a remedy or the performance of which the law in some way recognizes a duty.

True

A contract is a set of legally enforceable promises.

True

A contract that arises from the conduct of the parties is an implied contract.

True

A contract that arises from the conduct of the parties is an procedural contract.

True

Lack of genuine assent is a defense to enforcement of a contract.

True

Silence can be an acceptance when the offeree receives the benefits of the offered services with reasonable opportunity to reject them and knowledge that some form of compensation is expected, yet remains silent.

True

is a statutory source of contract law in the United States applicable to transactions involving the sale of goods

Uniform Commercial Code

As a general rule, when is an offer revocation effective?

When it is received by the offeree.

Harry accepts Frank's offer to sell a used car for $2,000. At what point is there a binding contract?

When the agreement is made.

Consideration is

a bargained-for exchange

An offer made by one party and accepted by another party is called a

agreement

A _____ contract is commonly defined as a promise in exchange for a promise.

bilateral

An offeree is the party making an offer, and the offeror is the party receiving the offer.

false

If the subject matter of an offer is destroyed, the offer

immediately terminates

The person who is in the position to agree to the terms of an offer by another party is called the

offeree

In a _____ contract, the offeror wants performance by the offeree to form the contract.

unilateral