blaw chapter 20
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
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
Ambiguities in contracts are always interpreted in favor of the side that wrote the contract, since they are the ones who know what the provision is supposed to mean.
false
Contracts must use formal terminology such as "whereas" and "heretofore" in order to be legal.
false
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
Some contracting parties are intentionally vague in contract terms.
true
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
Which of the following is generally NOT in the introductory paragraph of a contract?
covenants of a contract
Bob, a house painter, contracts with Ollie to paint a rental house which Ollie owns. Bob hires Rob to take his place as the painter on this contract. What has Bob done?
delegated his duties
In a contract modification, the phrase "charged with such amendment" refers to
the party who will be adversely affected by the change.
Any ambiguity in a contract is interpreted against the party who drafted the contract.
true
In the case of a typo, a court will reform a contract if there is clear and convincing evidence that the alleged mistake does not actually reflect the true intent of the parties.
true
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
Standard provisions in a contract that are often listed under the heading "Miscellaneous" are called
a boilerplate
Nate works as a carnival barker. His employment contract specifies that he can be fired if he "loses his voice." This is an example of
ambiguity
When a provision in a contract is unclear by accident, it is a case of
ambiguity
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
Emily runs a children's clothing boutique which takes in local homemade items on a consignment basis. Her standard form contract indicates that Emily has the right to put items on sale without prior approval, but does not specify what effect the sale has on the consignor's payment percentage. Her intent is to keep the same profit she would have had without the sale. She is using ambiguity in her contract to increase her sales and profit.
false
If you have an established relationship with a buyer, you can sell small tracts of land without a written contract.
false
It is unethical to use your lawyer as an excuse for a provision of a contract, such as, "My lawyer insists that I have a liquidated damages clause..."
false
Lawyers prefer to negotiate touchy subjects as they arise rather than address them at the beginning of a relationship.
false
You should hire a lawyer to review any legal papers you have to sign, especially such papers as lease agreements or car purchases.
false
An honest effort to meet both the spirit and letter of the contract is termed
good faith
Statements of fact about the past and present are called
representations and warranties