LFB midterm (ch 9 + 10)

or "Implied law", not included in the foregoing classification of contracts because a quasi (meaning "as if") contract is not a contract at all but is based on restitution

Quasi contracts

failure to perform properly

breach

parties to a contract must have contractual ________ (this is limited or not present for certain persons: like those judicially declared incompetent, have no legal capacity to contract, minors, incompetent persons, and intoxicated persons)

capacity

3 essentials of an offer (to be effective) 1. Be ________________ to the offeree 2. Manifest an ________ to enter into a contract 3. Be sufficiently __________ and certain

communicated, intent, definite

each part must intentionally exchange a legal benefit or incur a legal detriment as an inducement to the other party to make a return exchange

consideration

counterproposal from the offeree to the offeror that indicates a willingness to contract but upon terms or conditions different from those contained in the offer

counteroffer

What factors make an agreement enforceable under the principle of quasi-contract? one party being ____________ enriched party knows about the _________ and keeps it

enriched, benefit

one in which the parties have manifested their agreement by oral or written language (or both) (entirely oral, partly oral and partly written, entirely written)

express contract

the words "might" and "in the future" if added to an offer, will cause the offer to _____ for definiteness?

fail

A major, disruptive, unexpected event for which neither party is to blame and that prevents one or both parties from complying with a contract is called:

force majeure

the situation created when two merchants are using standard forms with conflicting terms to attempt to create an offer and acceptance is known as the battle of the ________

forms

one that is inferred from the parties conduct (not spoken, written) (partly oral/written and partly implied from the conduct of the parties, wholly implied from the conduct of the parties)

implied contract

Contracts are primarily governed by:

state common law

Ways an offer can be ____________ (other than by acceptance): Lapse of time Revocation Rejection Counteroffer death/incompetency of the offeror or offeree Destruction of the subject matter to which the offer relates Subsequent illegality of the type of contract the offer proposes

terminated

When an agreement fails to qualify as an enforceable contract, but one of the parties breaches the agreement, the non-breaching party sues for:

unjust enrichment

formal contracts have to be in a specific form to be ______.

valid

contract that meets all the requirements of a binding contract

valid contract

if there is no mutual assent or consideration for an agreement, the agreement is then....

void

A contract that may be canceled at the request of one of the parties is:

voidable

not wholly lacking in legal effect, capable of being made void because of the manner in which it was formed/lack of capacity of a party to it

voidable contract

Article 2 of the Uniform Commercial Code deals with what type of property?

Personal

Contests, lotteries, and competitions with prizes are common examples of: ___________ contacts

Unilateral

The usual method of showing the mutual assent necessary to create a contract is by offer and ___________.

acceptance

a manifestation of willingness to enter a bargain, made to justify another person in understanding that his assent to that bargain is invited and will conclude it

acceptance

contract where both parties exchange promises, each party is under a duty to their other, both party is a promisor (person making a promise) and promisee (person to whom a promise is made)

bilateral

2 types of contracts: business to _________ business to __________

business, consumer

4 basic requirements of a ___________: 1. mutual assent 2. consideration 3. legality of object 4. capcity

contract

A ________ exists if both parties have acted in a manner than manifests (indicates) a recognition by each of them of the existence of a contract

contract

A ________ for sale includes both a present sale of goods and a contract to sell goods at a future time.

contract

binding agreement that the courts will enforce, "promise or set of promises for the breach of which the law gives a remedy, or performance of which the law in some way recognizes as a duty"

contract

not static, contractual obligations whenever the parties clearly manifest an intent to be bound

contract law

these are all standard classifications of __________: express or implied; bilateral or unilateral ; valid, void, voidable, or unenforceable; executed or executory ; and formal or informal .

contracts

When party A and B form a contract and both parties fully perform, the contract is considered:

executed

a contract fully performed by all of the parties to it

executed

means "unperformed," applies to situations in which one or more promises by any party to the contract are as yet unperformed or where the contract is wholly unperformed by one or more of the parties

executory

Rayshawn leaves his car at Taylors Auto Service center for an oil change. When the service is complete, he is obligated to pay the Auto Service for the work done. This type of contract is best characterized as:

implied in fact

the main purpose for a court to apply the doctrine of promissory estoppel to an agreement is to prevent __________ that might arise from an unenforceable agreement

injustice

To have the mutual assent required to form a contract, the offeree must have __________ of the offer

knowledge

Parties to a contract may indicate their assent either by express __________ or by conduct that implies such willingness

language

purpose of contract must not be criminal, tortious, or otherwise against public policy

legality of object

An agreement is a manifestation of _________ _________ on the part of two or more parties

mutual assent

parties to a contact must manifest by words or conduct that have agreed to enter into a contract (by offer and acceptance)

mutual assent

there is usually ___ _________ for promises that are not contractual

no remedy

definite proposal or undertaking made by on person to another that manifests a willingness to enter into a bargain

offer

the manner by which parties usually show mutual assent is by ______ and ____________

offer, acceptance

In an auction, the bidder is the...

offeror

a contract by which the offeror is bound to hold open an offer for a specified period of time

option contract

executed and executory contracts pertain to the state of _____________ of a contract.

performance

Sale of __________ ___________ forms a substantial portion of commercial activity

personal property

any type of property other than an interest in real property (land)

personal property

the Uniform Commercial Code (UCC) governs sales of __________ ___________ in most states?

personal property

When one party communicates to another party that they are willing to discuss a potential offer, this is called:

preliminary negotiations

advertisements are not offers because: 1. they do not contain a ________ and 2. they leave unexpressed many terms that would be necessary to the making of a contract.

promise

manifestation of the intention to act or refrain from acting in a specified way

promise

Contractual agreement always involves: -A promise exchanged for a ________ (bilateral contract) -Or a promise exchanged for an ____ or forbearance to do so (unilateral contract)

promise, act

A non contractual promise is enforceable under ____________ ____________ when it is made under circumstances that should lead the promisor reasonably to expect that the promise would induce the promisee to take definite and substantial action or forbearance in reliance on the promise and the promisee does take such action or forbearance.

promissory estoppel

These elements are required for courts to apply the doctrine of _________ _________? Detrimental Enforcement Promise definite

promissory estoppel

to avoid injustice, in certain circumstances, courts enforce non contractual promises under the doctrine of ____________ __________

promissory estoppel

If an individual shopping for groceries opens a bottle of water from their cart and drinks it before they have paid for their items:

quasi

One party is being unfairly enriched at the expense of the other through an otherwise unenforceable agreement, the courts would likely enforce the agreement under the principle of...

quasi contract

What happens when a party with the right to avoid a contract chooses to not avoid it? the contract is __________

ratified

when the offeree manifests his unwillingness to accept, effective moment of __________

rejection

The relief given to an innocent party to enforce a right or compensate for the violation of a right is called:

remedy

Basic rule of _______________ is that a person who is unjustly enriched at the expense of another is subject to liability in restitution, which usually requires the unjustly enriched person to restore the benefit received or pay money in an amount necessary to eliminate the unjust unrichment

restitution

When an unjustly enriched party must restore the benefit, this is called:

restitution

obligation imposed by law to avoid injustice

restitution

Which type of termination of an offer occurs due to an action of the offeror?

revocation

when an offeror may withdraw an offer at any time before it has been accepted, and notice of revocation of the offer reaches the offeree before she has accepted, this is known as

revocation

the passing of title to goods from a seller to a buyer for a price.

sale

True or False: a noncontractual promise may be enforceable where there has been justifiable reliance on the promise.

true

When the time limit for filing a suit for the breach of a contract has expired, the contract is classified as:

uneforceable

if the subject matter is illegal and the state of frauds is satisfied, then an agreement is...

unenforceable

neither void or voidable, Contract for the breach of which the law does not provide a remedy

unenforceable contract

for an offer to be legally accepted, acceptance must be ______________ with no requests for changes in the offer. It may only be accepted by the intended offeree or the offeree's agent.

unequivocal

What is the term for a contract agreement in which an offeror promises to pay after the occurrence of a specified act, and the offeree is not required to respond in words?

unilateral

What type of contract results from the exchange of a promise either for an act or for the forbearance from an act?

unilateral

contract where only one of the parties makes a promise

unilateral

agreement that does not meet all the requirements of a binding contract (not contract at all, a promise/agreement w no legal effect)

void contract

if there is mutual assent and consideration for an agreement, but no capacity or invalidating conduct the agreement is then....

void or voidable

What type of contract exists when at least one party has the option of canceling it?

voidable