bus 250 chp 20

Which of the following guidelines applies to writing the title of a contract?

It should be descriptive of the agreement and typed in all capital letters.

In which of the following situations is it likely that you may NOT need a written contract?

The terms of the agreement are simple and the value of the transaction is small.

"Scrivener's error" is another (fancier) name for a typo.

True

Which of the following is one of the four steps in reading a contract?

What-ifs

Ralph is a professional football player. He signs a valid contract with the Miami Dolphins. Later, he claims that he was also promised free use of the Dolphins' private jet, but this was not in the contract. What type of clause in his contract would prevent him from flying away with this claim?

an integration clause

A severability provision

asks the court to delete the offending clause and enforce the rest of the contract

What is a force majeure event?

a disruptive, unexpected occurrence for which neither party is to blame that prevents one or both parties from complying with a contract

Which of the following is a standard provision frequently found in contracts?

choice of forum

If the subject of the contract includes issues that may be controversial or "touchy," it is best to

deal with them up front before the relationship becomes strained.

Bob, a house painter, contracts with Ollie to paint a rental house that Ollie owns. Bob hires Rob to take his place as the painter on this contract. What has Bob done?

delegated his duties

Two parties are debating whether or not to put their contract into writing. In making their determination, which of the following factors would normally NOT be considered?

the length of time covered by the agreement

In a contract modification, the phrase "charged with such amendment" refers to

the party who will be adversely affected by the change.

A+ Modeling Agency signs a contract with Sandi to do a photo shoot for the local used car dealer's advertising. The contract was most likely written by

A+ Modeling Agency's lawyer.

Farmer's Fortune Insurance has a contract with Farmer Fran to insure her crops against insect damage. The contract does not specify which insects are covered or how much damage is necessary to make a claim. The contract will probably be enforced in favor of

Farmer Fran.

Which of the following is the best example of a contract title?

LEASE AGREEMENT BETWEEN ALISON ALBRIGHT AND KEYSTONE PROPERTIES

Provisions that a party agrees to perform only if the other side also does what it promised are called

conditional promises

When a provision to a contract is accidentally unclear, it is called

ambiguity

Nate works as a sales representative. His employment contract specifies that he cannot work for a competitor for a period of two years from employment. This is an example of

ambiguity.

Standard provisions in a contract that are often listed under the heading "Miscellaneous" are called

boilerplate.

Which of the following is NOT one of the three ways to amend a written contract?

by verbally agreeing to the changes and shaking hands on the deal

An honest effort to meet both the spirit and letter of the contract is termed

good faith.

In the case of scrivener's errors, a court will usually

reform the contract if it is clear that the mistake is not what the parties intended.

Rich and Archie sign an agreement in which Archie agrees to deliver ten cases of champagne in 5 days. The parties negotiated and meant to say in the written agreement, delivery in 50 days. If the evidence is clear that the two parties intended to agree to 50 days, the courts will probably

reform the contract.

Marsha and Antonio make a contract in which Marsha agrees to sell Antonio an expensive and rare piece of art. In the contract, Marsha states that she has the authority to enter into an agreement with Antonio, that she owns the piece of art, and that the art is authentic and not a forgery. These statements are examples of

representations and warranties.

Which of the following generally is NOT in the introductory paragraph of a contract?

the covenants of the contract