chap 13 sb statute of fraud

Uniform Commercial Code Section, ______ requires a contract for the sale of goods priced at $500 or more to be in writing to be enforceable.

2-201

Which of the following is a correct statement regarding the relationship between the parol evidence rule and incomplete contracts?

When a contract is fundamentally flawed in missing critical information, courts can allow parol evidence to provide the missing information.

Which of the following is not a specific type of contract that falls within the statute of frauds? a contract for the sale of goods valued at less than $500 a contract for one party to pay the debt of another if the initial party fails to pay a promise made in consideration of marriage a contract whose terms prevent possible performance within one year

a contract for the sale of goods valued at less than $500

A ______ beneficiary is a third party who benefits from a contract in which a promisor agrees to give a gift to the third party.

donee

Partial performance is an exception to the statute of ______ in which the performance of portions of an unwritten agreement by one or both parties can constitute proof that an oral contract exists between the parties.

frauds

A(n) ______ obligation arises when a party outside a primary agreement promises to fulfill the primary debtor's obligations if the primary debtor fails to fulfill his or her obligation.

secondary

According to the statute of frauds, contracts whose performance cannot possibly occur within one year must be in writing. The one-year period begins to run ______.

the day after the contract is created

Which of the following is not a writing element required by the statute of frauds?

the signature of both parties at the end of the contract

Which of the following is an accurate statement regarding secondary obligations and the statute of frauds?

A secondary obligation is within the statute of frauds and therefore must be in writing to be enforceable.

Which of the following states does not adhere to the admission exception of the statute of frauds? Multiple choice question. North Carolina Oregon North Dakota Louisiana

Louisiana Lousiana and California doesn't adhere to the admission exception of the statute of frauds

Contractual rights that cannot be assigned include all but which of the following?

Rights to receive money

According to the Uniform Commercial Code (UCC), Section 2-201, which of the following is an incorrect statement about contracts for the sale of goods priced at $500 or more?

Terms other than quantity must be exact and included in the written contracts.

Which of the following is an accurate statement regarding the enforceability of a prenuptial agreement?

To be enforceable, a prenuptial agreement must be in writing.

If a contract intends to grant a gift to a third party, the third party is a(n) ______ beneficiary.

donee

The purpose of the ______ rule is to restrict evidence from being admitted that substantially contradicts the agreement in its written form.

parol evidence

In determining whether a third party is an intended beneficiary, courts ask whether the contracting parties intended the third party to be all but which of the following? Multiple choice question. the primary beneficiary the express beneficiary the direct beneficiary the incidental beneficiary

the incidental beneficiary

Which of the following is a recognized purpose of the statute of frauds?

to prevent parties from entering into contracts with which they do not agree

Contracts are typically private agreements, in the sense that the focus of the contract is the two parties involved and no one else. The two parties are said to be in ______ of contract.

privity

Parties not in ______ of contract usually do not have rights to a contract.

privity

The contracts involving promises to pay a debt that are within the statute of frauds are of a very limited kind. These promises are referred to as _____.

secondary promises, collateral promises, or suretyship promises

Which of the following are duties that cannot be delegated? Multiple choice question. Duties that are nonpersonal in nature Duties that involve ordinary construction work, such as bricklaying Duties that are personal in nature Duties that are standardized

Duties that are personal in nature

Which of the following is an incorrect statement regarding the relationship between the parol evidence rule and contracts containing ambiguous terms? Multiple choice question. When a contract contains ambiguous terms, the court allows only written evidence to be introduced to clarify the ambiguous terms. When a contract contains ambiguous terms, the court allows evidence, even if it is oral, for the sole purpose of clarifying ambiguous terms. Oral evidence related to ambiguity is admissible only to clarify, and not to change, any of the contractual terms. Evidence used to clarify ambiguity is not believed to modify the contract but, rather, to clarify it.

When a contract contains ambiguous terms, the court allows only written evidence to be introduced to clarify the ambiguous terms.

Which of the following is not a recognized exception to the parol evidence rule? Multiple choice question. contracts that are represented to be the full and final agreement of the parties contracts conditioned on orally agreed-on terms contracts that are subsequently modified contracts that are not final because they are part-written and part-oral

contracts that are represented to be the full and final agreement of the parties

A(n) ______ beneficiary is a third party to a contract whom the contracting parties intended to benefit directly from their contract.

intended

A(n) ______ is a party who agrees to do something under a contract.

obligor

The ______ evidence rule is a ______ law rule that specifically addresses the admissibility of oral evidence as it relates to written contracts.

parol; common

Under the statute of frauds, which of the following parts of a land is not considered real property?

the tractors used on the land

A(n) ______ contract is created when two parties enter into a contract with the intended purpose of benefiting a third party.

third-party beneficiary

A(n) ______ beneficiary is a third party who benefits from a contract in which the promisor agrees to pay the promisee's debt.

creditor

If Juan agrees to pay Amanda's credit card debt, Amanda's credit card company is a(n) ______ beneficiary.

creditor

Which of the following is an accurate statement regarding the applicability of the parol evidence rule to evidence of a condition precedent?

Evidence of a condition precedent agreed to orally is admissible because the contract is not modified by such evidence.

Which of the following is an accurate statement regarding the relationship between the parol evidence rule and the subsequent modification of an existing, written contract?

Evidence of a written contract's subsequent modification is admissible if it was made after the contract and if it clearly indicates the modification.

Contractual rights that cannot be assigned include all but which of the following? Multiple choice question. Rights whose assignment is prohibited by contract Rights whose assignment is prohibited by law Rights for a bank to sell a mortgage instrument to another bank Rights whose assignment is prohibited by public policy

Rights for a bank to sell a mortgage instrument to another bank

______ promises, ______ promises, and suretyship promises refer to agreements in which a third party agrees to pay the debt owed by another party if that other party fails to pay his or her debt.

Secondary; collateral

Which of the following is not one of the main purposes of the statute of frauds?

to promote the notion that a person's word is his or her "bond"

Which of the following is not a recognized exception to the statute of frauds? Multiple choice question. promissory estoppel partial performance nonperformance admission

nonperformance

A(n) ______ is a party who agrees to receive something from the other party to the contract.

obligee

Under the statute of frauds, which of the following is not true of the contracts related to an interest in land?

Contracts transferring other interests in land are outside the statute of frauds.

Which of the following is an accurate statement regarding the relationship between the parol evidence rule and void or voidable contracts?

Courts allow parol evidence to demonstrate that a contract is void or voidable.

Suppose an assignor transfers rights to an assignee under a contract stating "I assign all of my rights under the contract," but nothing is said specifically about a delegation of duties. What would a court likely conclude regarding the assignment of rights and the delegation of duties under such a contract?

Due to its ambiguous language, the contract involves both an assignment of rights and a delegation of duties.

All but which of the following evidence is typically excluded under the parol evidence rule?

a written contract itself

If a promise in a contract is intended to release a party from an obligation to a third party, such as the paying of one's debt, the contract involves a(n) ______ beneficiary.

creditor

According to the ______, parol evidence is admissible for the sake of clarification if the evidence addresses prior dealings between the parties or usages of trade in the same business as the parties' field.

Uniform Commercial Code

A(n) ______ is a statement made in court, under oath, or at some stage during a legal proceeding in which a party against whom charges have been brought admits that an oral contract existed, even though the contract was required to be in writing.

admission

According to the Uniform Commercial Code, which of the following is a recognized exception to the writing requirement of the statute of frauds?

an oral contract between merchants

A(n) ______ occurs when a party to a contract transfers his or her rights to a third party.

assignment

An assignment occurs when a party to a contract, the ______, transfers his or her rights to the contract to a third party, the ______.

assignor; assignee

A(n) ______ occurs when a party to a contract transfers his or her duty to perform to a third party who is not part of the original contract.

delegation

A delegation occurs when a(n) ______ transfers his or her duty to perform to a(n) ______.

delegator; delegatee

Promissory estoppel is an exception to the statute of ______.

frauds

A(n) ______ beneficiary is one who unintentionally gains a benefit from a contract between other parties.

incidental

A third-party beneficiary is a(n) ______ beneficiary of a contract between two other parties.

intended

The most common form of donee beneficiary contract is a(n) ______ insurance policy.

life

Attorney Jack Highlander agrees to represent Charity Vance in a divorce proceeding next month. In this specific context, Highlander is a(n) ______ under the contract.

obligor

Contracts whose performance, based on the terms of the contract, cannot possibly occur within ______ fall within the statute of frauds and therefore must be in writing.

one year

The ______ evidence rule states that oral evidence of an agreement made prior to or contemporaneously with a written agreement is inadmissible when the parties intended the written agreement to be the complete and final version of their agreement.

parol

Under ______ performance, if the buyer in an alleged contract for the sale of land has paid any portion of the sales price and has begun to improve the land permanently, the course will consider such actions proof of the contract.

partial

Which of the following is a specific type of contract that falls within the statute of frauds?

a contract related to an interest in land

Which of the following is not a recognized exception to the parol evidence rule?

contracts with a merger clause

Which of the following is a duty that can be delegated? Multiple choice question. duties for which the delegatee's performance will vary significantly from the delegator's duties in contracts that forbid delegations duties that are standardized and nonpersonal in nature duties that are personal in nature

duties that are standardized and nonpersonal in nature

Promissory ______ is the legal enforcement of an otherwise unenforceable contract due to a party's detrimental reliance on the contract.

estoppel

By way of an attorney-client agreement, Charity Vance looks forward to attorney Jack Highlander's legal representation of her in a divorce proceeding next month. In this specific context, Charity is a(n) ______ of the contract.

obligee

When an entire contract is conditioned on something occurring first, that first thing is known as a condition ______.

precedent

A ______ agreement is a contract entered into by two parties before marriage that clearly states the ownership rights each party enjoys in the other party's property.

prenuptial

Which of the following is not an element required for a writing to satisfy the statute of frauds?

the signature of the plaintiff suing to enforce the contract

Which of the following is an incorrect statement regarding the relationship between the parol evidence rule and contracts with serious and obvious typographical errors? Multiple choice question. Whenever a written agreement contains a serious and obvious typo, parol evidence is admissible to set forth the proper term. A written agreement is clarified by allowing parol evidence to correct a typo. Allowing parol evidence to correct a typo does not fundamentally alter a written agreement. A written agreement is fundamentally altered by allowing parol evidence to correct a typo.

A written agreement is fundamentally altered by allowing parol evidence to correct a typo.

Which of the following is an incorrect statement regarding the relationship between the parol evidence rule and void or voidable contracts? Multiple choice question. Allowing evidence that proves a contract is void or voidable violates the parol evidence rule. Allowing evidence that proves a contract is voidable does not fundamentally alter the terms of the contract. Allowing evidence that proves a contract is void does not fundamentally alter the terms of the contract. Despite the parole evidence rule, evidence of a defense to a contract is admissible to prove the contract is void or voidable.

Allowing evidence that proves a contract is void or voidable violates the parol evidence rule.

Which of the following is an accurate statement regarding the rights of third-party beneficiaries to sue to enforce contract obligations? Multiple choice question. Neither an intended beneficiary nor an incidental beneficiary can sue to enforce a contract obligation. An incidental beneficiary can sue to enforce a contract obligation. An intended beneficiary can sue to enforce a contract obligation, while an incidental beneficiary cannot sue to enforce a contract obligation. An intended beneficiary cannot sue to enforce a contract obligation.

An intended beneficiary can sue to enforce a contract obligation, while an incidental beneficiary cannot sue to enforce a contract obligation.

According to the Uniform Commercial Code, which of the following is a recognized exception to the writing requirement of the statute of frauds?

An oral contract for customized goods

Under the statute of frauds, which of the following is not true of the contracts related to an interest in land? Multiple choice question. A claim to an oral contract for the sale of land is not enough to prove such a contract existed. Mortgages are within the statute of frauds. Contracts transferring other interests in land are outside the statute of frauds. Under the statute of frauds, land is considered real property as well as anything attached to the land, such as trees or buildings.

Contracts transferring other interests in land are outside the statute of frauds.

Which of the following is an incorrect statement regarding the subsequent modification of an existing, written contract? Multiple choice question. If the statute of frauds requires the agreement to be in writing, oral modifications are unenforceable. If the contract's terms require modifications to be in writing, oral modifications are nevertheless admissible. Oral evidence of a subsequent written agreement is admissible. If the contract's terms require modifications to be in writing, oral modifications are unenforceable.

If the contract's terms require modifications to be in writing, oral modifications are nevertheless admissible.

Which of the following is an incorrect statement regarding the relationship between the parol evidence rule and evidence of prior dealings or usage of trade? Multiple choice question. Evidence of past dealings can help clarify ambiguous terms. When a contract is ambiguous or incomplete, courts can examine the standard practices in the business. The parol evidence rule prohibits the admissibility of evidence of prior dealings or usage of trade. Evidence of past dealings can help clarify missing terms.

The parol evidence rule prohibits the admissibility of evidence of prior dealings or usage of trade.

Which of the following is an incorrect statement regarding the applicability of the parol evidence rule to a nonfinalized, partially written and partially oral, contract? Multiple choice question. With a nonfinalized, partially written and partially oral, contract, oral evidence related to the contract is admissible. When a contract consists of both written and oral elements, judges tend to treat the agreement as nonfinalized. With a nonfinalized, partially written and partially oral, contract, the judge assumes the written agreement is not the entire agreement. When a contract consists of both written and oral elements, judges tend to treat the agreement as finalized.

When a contract consists of both written and oral elements, judges tend to treat the agreement as finalized.

Which of the following is a type of intended beneficiary?

a creditor beneficiary

Which of the following is a type of intended beneficiary?

a donee beneficiary

Various exceptions to the statute of ______ include admission, partial performance, and promissory estoppel.

frauds