Chapter 9

promises

A bilateral contract is entered into by way of an exchange of _____ between the contracting parties.

act

A unilateral contract is a "promise for a(n) _______."

voidable

A(n) _____ contract is a contract in which at least one of the parties has the option to void his or her contractual obligations.

void

A(n) ______ contract has no legal effect.

unilateral

In a _____ contract, the offeror's offer can only be accepted by the performance of an act by the offeree.

Commercial

The goal of the Uniform _______ Code is to create a system of commercial law among the 50 states.

genuineness of assent; writing and form

Two defenses may be raised to the enforcement of contracts: ______ and _____.

UCITA

Uniform Computer Information Transactions Act

letter of credit

A ____ ____ ____ is an agreement by the issuer of the letter to pay a sum of money on the receipt of an invoice and other documents.

law; equity

A contract is an agreement that is enforceable by a court of ____ or ____.

common

A major source of contract law is the ______ law of contracts, which was developed from early court decisions that became precedent for later decisions.

express

A(n) ____ contract is stated in oral or written words.

bilateral

A(n) _____ contract is a "promise for a promise".

2

Article ____ of the Uniform Commercial Code prescribes a set of uniform rules for the creation and enforcement of contracts for the sale of goods.

2A

Article _____ of the Uniform Commercial Code prescribes a set of uniform rules for the creation and enforcement of contracts for the lease of goods.

simple contracts

Formal contracts are contracts that require a special form or method of creation. The Restatement (Second) of Contracts identifies four types of formal contracts. Which of the following is NOT one of those formal contracts? 1) recognizance 2) negotiable instruments 3) simple contracts 4) letters of credit 5) contracts under seal

invalid offer

Given the objective theory of contracts, a statement said in frustration such as, "For $200, I'd sell the whole computer division!" would be considered a (an) _________ ______.

in equity; equitable; equitable

In an action "_____," the judge decides the _____ issue; there is no right to a jury trial in a(n) _____ action.

contractual capacity, consideration, lawful object, agreement

Name the four basic requirements that must be met in order for a contract to be enforceable.

contract under seal, negotiable instrument, letter of credit, recognizable

Name the four types of formal contracts

formal

Negotiable instruments are special types of _____ contracts.

offeror

The _____ is the party who makes an offer to enter into a contract.

offeree

The ______ is the party to whom the offer is made.

False

The consent of the parties to create a contract need not be genuine.

objective

The intent to enter into a contract is determined using the _____ theory of contracts.

reasonable person standard

The objective theory of contracts states that the intent to contract is judged by the ____ ____ ____ and not by the subjective intent of the parties.

Implied-in-Fact

_________ contracts are implied from the conduct of the parties.