Bus 261 Quiz 15

__________ is what a person will receive in return for performing a contract obligation.

Consideration

Maya pays $5,000 and purchases a car from her friend, Jane. Later, Maya realizes that the car is worth less than $3,000. Which of the following statements will be true if Maya plans to sue her friend?

Maya cannot sue Jane because the court seldom considers adequacy of consideration.

An exception to the common law rule requiring that a valid contract must have consideration is

contract under seal

Consideration is

is required in every contract

When there is no dispute over the amount of debt or existence of debt, it is referred to as a _____.

liquidated debt.

With a liquidated debt, _____.

once the creditor accepts the proposed different performance, the debt is satisfied and the creditor may not collect anything else.

According to the __________, performance of a duty you are obligated to do under the law is not good consideration.

preexisting duty rule

Kevin is offered a job by a reputable company in a different city. To take the new job, Kevin quits his previous job and moves to the new city along with his family. When he shows up at work, he is told that there is no job. Kevin can sue the employer under the theory of

promissory estoppel.

All of the following are requirements necessary for an "accord and satisfaction" to be enforceable, except

the debt is liquidated

Past consideration can be valid consideration

when past consideration is given with expectation of future payment.