Chapter 13 Worksheets
Elements That Are Required for the Promissory Estoppel Doctrine to Be Applicable
1. There must be a clear and definite promise 2. The promisor should have expected that the promise would rely on the promise 3. The promise reasonably relied on the promise by acting or refraining from some act 4. The promisee's reliance was definite and resulted in substantial detriment 5. Enforcement of the promise is necessary to avoid injustice
Preexisting duty
A _____ _____ might exist because of a duty imposed by a previous contract or a duty imposed by a law
Accord
A basic rule is that there can be no satisfaction unless there is first an _____
Liquidated debt
A debt that is due and certain in amount
Unliquidated debt
A debt that is uncertain in amount
Rescission
A remedy whereby a contract is canceled and the parties are returned to the positions they occupied before the contract was made
Covenant not to sue
An agreement to substitute a contractual obligation for another legal action is called a ____ ____ ___ ___
Can; cannot
An award is posted by a private group for information leading to the arrest of a criminal. The following _____ claim such an award: -non-residents -residents with work visas -senior citizens -emancipated minors and the the following ______: -sheriffs
Value
Consideration is the ______ given in exchange for a promise. A contract cannot be formed without sufficient consideration
Not win
Constance tell Jill, her best employee, that: "your work is so good, if I like what you do over the next six months, I'll give you a $1,000 bonus." Constance does not give Jill the bonus so Jill sues. Most likely, Jill will ______ because this is an *illusory promise without consideration*
No
Dewitt tells his daughter: "In consideration of the fact that you are not as wealthy as your sisters, I'm going to give you $100,000." Is the element of bargained-for exchange present here? ______, because in fact no consideration has been given
Release
Francisca collides with Wyatt's car. Francisca writes Wyatt a letter offering to pay Wyatt $10,000 if he agrees to forfeit all of his rights to pursue a lawsuit. If Wyatt agrees and signs the letter, Wyatt will have agreed to a(n):
No consideration
Past consideration is the equivalent of __ _______
No, illusory
Sergio contracts to hire Belinda to work for him at $3,000 per month, reserving the right to cancel the contract at any time. Two days before Belinda is scheduled to start work, Sergio exercises his option-to-cancel clause. Will Belinda be successful in a lawsuit against Sergio? _____, because the promise was _______ and therefore unenforceable
Fraud
Shockingly inadequate consideration can indicate the existence of what exceptions? 1. Undue influence 2. Duress 3. _______
Past consideration
Something given or some act done in the past, which cannot ordinarily be consideration for a later bargain
Prior legal duty
Something of legally sufficient value may consist of a promise to do something that one had no ______ _____ ______ to do
Refraining
Something of legally sufficient value may consist of the performance of an action that one is otherwise not obligated to undertake. Something of legally sufficient value may consist of _______ from an action that one has a legal right to undertake (called a forbearance).
Legal value
Something of legally sufficient value must be given in exchange for a promise. This may consist of a promise, a performance a forbearance
False
T/F An accord and satisfaction can be used to settle any contract dispute with respect to any type of debt
True
T/F Carmen agrees to cook twenty dinners for Hal. In exchange, Hal will repair all of the plumbing in Carmen's house. Carmen has offered legally sufficient consideration because carmen has promised something of value.
False
T/F Freedom of contract is absolute even in the presence of undue influence
False
T/F If a promise is made without consideration, it can never be enforced
False
T/F If an employer asks a current employee to sign a non-compete agreement, his or her employment is sufficient consideration for the agreement
True
T/F If two parties substitute a new contract for an old one and the court finds that there was a preexisting duty, then the new contract will be invalid because there was no consideration
Fale
T/F Jenkins agrees to repaint Celia's apartment in exchange for her used tablet device. When he is three-quarters of the way finished, he says he will not continue unless she also gives him her used smartphone. His legal position is such that he can receive the smartphone in exchange for finishing the job because he has given good and fair consideration in exchange.
False
T/F Promissory estoppel and the doctrine of quasi contract are equivalent
False
T/F Promissory estoppel requires a promise with consideration to apply.
True
T/F Something does not have to be of direct economic or financial value to be considered legally sufficient consideration
False
T/F Something must be of established market value to be considered legally sufficient consideration
False
T/F Yolanda's parents tell her that if she builds a house with her own funds on land that they own, they will give her the land. If they refuse to do so after Yolanda finishes the house, she will NOT be able to use the doctrine of promissory estoppel because it does not apply to family disputes
Second element of consideration
The _____ _____ __ ______ is that is must provide the basis for the bargain so the item of value must be given or promised by the promisor in return for the promisee's: promise, performance, or promise of performance
Executory
The law recognized that two parties can mutually agree to cancel their contract to the extent that it is _____
Bargained for exchange
There must be a bargained-for exchange
Accord and satisfaction
When a debtor offers to pay a lesser amount than the creditor originally claimed was owe, and a creditor accepts, the agreement is called an:
Estopped
When all of the requirements are met to state a claim under the doctrine of promissory estoppel, the promisor will be ______ from asserting the lack of consideration as a defense
Consideration
Can be defined as something of value given in exchange for a promise
Attorney or notary
In most states, a legally binding release does NOT require the signature of an _______ ___ ______. But it DOES require consideration and a signed writing
Unforeseen difficulties
In the interest of fairness and equity, the courts may allow an exception to the preexisting duty rule when contract performance involves _____ _____
In dispute
You owe monthly payments on a car loan at fixed interest. After making eleven payments, you go to the bank and ask it to make an accord and satisfaction for a lesser amount. Will you succeed? No, because your debt is a liquidated debt and therefore is not ___ _______
Promissory estoppel
____ ____ requires that justice be better served by enforcement of the promise