chapters 10-13 - exam 3 review
1, 2 (whether additional consideration will be needed whether the modification must be in writing)
Which of the following are things a contracting party must consider when seeking to modify a contract? (Select 2 answers) 1. whether additional consideration will be needed 2. whether the modification must be in writing 3. which party will provide the scrivener 4. whether there is clear and convincing evidence of the modification
1, 3, 4 (A war breaking out between two countries in which a buyer and seller were located A flood destroying a manufacturing facility A worldwide pandemic)
Which of the following events would likely qualify as a force majeure? (Select 3 answers) 1. A war breaking out between two countries in which a buyer and seller were located 2. A rainstorm at the location of a buyer's business 3. A flood destroying a manufacturing facility 4. A worldwide pandemic
2 (Eric offers to buy Arun's house for $775,000 with no contingencies because Eric's lease ends in two months. Arun wants to think about it and six days later has not yet responded.)
Which of the following is a valid offer? 1. Eric offers to buy Arun's house for $290,000. Arun says, "No, but I will sell it to you for $300,000." Eric seems to be upset, so Arun says he will sell it for $290,000. 2. Eric offers to buy Arun's house for $775,000 with no contingencies because Eric's lease ends in two months. Arun wants to think about it and six days later has not yet responded. 3. Arun distributes flyers at work stating he wants to sell his house, listing the address and the asking price. 4. Arun tells Eric he will sell one of his houses for $250,000 by the end of the summer.
an order for specific performance
Which of the following is an equitable remedy for breach of contract? 1. punitive damages when a seller has repeatedly shipped unsafe goods 2. an order for specific performance 3. compensatory damages for having to hire extra help to correct nonconforming goods 4. payment of the cost of cover for items not delivered on time
unilateral contract
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?
anticipatory repudiation
What is the term for the action of a party to a contract who notifies the other party that he or she will not perform his or her duty under a contract?
contractual capacity
What is the term for the legal ability to enter into a binding contract?
strict performance
What is the term for when a party to a contract performs his duties exactly according to the terms of the contract?
The contract must be objectively impossible to perform within one year.
What is the test for whether a contract is governed by the Statute of Frauds because of the one-year rule?
minor status
What type of lack of capacity is easiest to prove?
bilateral mistake
What type of mistake is likely to be voidable?
illegal & void
A contract for a purpose that causes the parties to violate a law is:
void
A contract for an illegal purpose is:
a promise
A covenant in a contract is:
include language in the letter that it is not a contract and neither party is bound by it.
A party may avoid having a letter of intent enforced as a contract if they:
a typo
A scrivener's error is also known as:
against the drafter
Ambiguous contract terms will be interpreted: against the seller. for the drafter. against the drafter. for the seller.
Reformation
Fred and Wilma enter into a contract for horse riding lessons. Fred accidentally types the price for lessons to be $4.00 each instead of $44.00 each. Wilma wishes to enforce the contract at $4.00 per lesson. Which remedy would be most effective?
Substantial performance involves an immaterial breach.
How is substantial performance involved with the classification of material breaches versus immaterial breaches?
3, 4 (The offeror may take an action that contradicts the offer and make that known to the offeree. The offeror may withdraw the offer with a clear expression.)
How may a revocable offer effectively be revoked? Choose 2 answers. 1. The offeror may convert the offer to an option contract. 2. The offeree may reject the offer with a clear expression. 3. The offeror may take an action that contradicts the offer and make that known to the offeree. 4. The offeror may withdraw the offer with a clear expression.
1, 2, 4 (An offeror may terminate an offer by revocation. A reasonable amount of time has passed. The offeree may make a counteroffer.)
How may an offer be terminated? Choose 3 answers. 1. An offeror may terminate an offer by revocation. 2. A reasonable amount of time has passed. 3. A competitor to the offeror can issue a better offer for the same product or service. 4. The offeree may make a counteroffer.
they must make an honest effort to comply with the spirit of the contract.
If a contract contains language that the parties must bargain in good faith, it means:
ambiguous
If a term is left unclear by accident, that term is:
vague
If the parties to a contract deliberately left a term of the agreement unclear as to its meaning, that term is considered:
2, 4 (Sales contracts under the UCC Courts can rewrite contracts even if the intent is vague.)
In general, certain terms must be included in contracts to satisfy the requirement of definiteness. What are the exceptions to this rule? Choose 2 answer choices. 1. If the contract is in writing, not all terms are required to be included. 2. Sales contracts under the UCC 3. Courts can complete a contract to supply some missing items. 4. Courts can rewrite contracts even if the intent is vague.
acceptance
In general, what contract term is NOT required to meet the requirement of definiteness?
reform the contract
In the case of finding a scrivener's error, the court will most often:
1, 3 (When the requirement is reasonable When the parties specifically agree to it in the contract)
In what situation could a party enforce strict performance? 1. When the requirement is reasonable 2. When one of the parties did not act in good faith 3. When the parties specifically agree to it in the contract 4. The plaintiff received sufficient benefit and the difference can be compensated with monetary damages
1, 3 (When the unjust enrichment is a relatively insignificant amount of money If the defendant was unjustly enriched and played a part in deceiving the plaintiff)
In what situations would a court be likely to award a quasi-contract? Choose 2 answer choices. 1. When the unjust enrichment is a relatively insignificant amount of money 2. If the defendant did not know the plaintiff would expect to be paid for the services 3. If the defendant was unjustly enriched and played a part in deceiving the plaintiff 4. When the party provided the services for unwilling recipients
3 (apply quasi contract theory and award the fair market value of the work that Harley completed.)
Jones Construction Company is building a series of new subdivisions in Newtown over the next two years. Jones enters into a verbal agreement with Harley Concrete Inc. to construct all the driveways and sidewalks in the subdivisions that Jones will be building. Jones and Harley agree on a price of $130 per cubic yard and that Jones will pay Harley at the end of each project. Harley completes the first project, which is four sidewalks and sixteen driveways, and bills Jones for the project. Jones decides that the price is too high and refuses to pay, claiming that they have no obligation to pay because the parties did not have a valid contract. If Harley sues Jones for payment the court would probably: 1. hold that Harley is entitled to nothing because parties are free to terminate contracts if they so choose. 2. hold that Harley is entitled to nothing because the contract violates the Statute of Frauds. 3. apply quasi contract theory and award the fair market value of the work that Harley completed. 4. apply quasi contract theory and award $130 per cubic feet, the contract price, to Harley.
Peyton is not required to perform under the contract until the appraisal is complete.
Korbyn enters into a contract with Peyton to sell Peyton a 1956 roadster. The contract has a condition precedent that the roadster will pass inspection by an independent appraiser, verifying that the roadster contains all original parts and is in good working order. This contract provision means that:
No, because you cannot compel performance of personal services under specific performance.
LaVon contracts with Nathan for Nathan to sing at her comedy club every Friday night in July. The first Friday, the crowd loved Nathan. The second Friday, they booed him. The next week, Nathan got a better offer, so he hired his twin brother Ethan to fill in for him at LaVon's club. Can LaVon compel Nathan to perform?
Dominique will not have to pay because Logan breached the contract.
Logan agrees to deliver fifty pounds of crab claws to Dominique by May 15. Dominique needs the crab claws for a wedding party that Dominique is catering on May 16, so time is of the essence of the contract. Logan contacts Dominique on May 15 and tells Dominique that the earliest Logan can deliver the crab claws is on May 17. Dominique cancels the order and quickly makes other arrangements for the wedding party she is catering. Logan then demands payment from Dominique for the full contract price, and Dominique refuses. If Logan sues Dominique for damages under the contract:
Marco will not have to pay because the subject matter of the contract is illegal.
Marco hires Franco to burn down a clothing store that belongs to one of Marco's competitors. Marco pays Franco $1,000 upfront and promises another $3,000 when the job is done. Franco burns down the clothing store and then asks Marco for the rest of the payment. Marco just laughs at Franco and walks away. If Franco sues Marco for payment under the contract: Marco will not have to pay because of the lack of competent parties. Marco will not have to pay because the subject matter of the contract is illegal. Marco will have to pay because all the elements of a contract have been met. Marco will not have to pay because the agreement lacks consideration.
an executory contract
Maryanne offers to sell her 2015 Mustang convertible to April for $15,000, and April agrees to those terms. April brings the $15,000 to Maryanne, and Maryanne promises to deliver the Mustang to April the next day after she has it detailed. At this point, Maryanne and April have: an executed contract. a unilateral contract. an executory contract. no contract.
No, unless the Statute of Frauds requires it.
Must all contracts be in writing? (Yes/No, and why?)
1 (Zoey, under the theory of promissory estoppel.)
Nadia needs help running her bakery. Nadia contacts her friend Zoey, who has baking experience but lives in another state, and offers Zoey a job. Nadia orally promises Zoey that she will employ Zoey for at least two years. Zoey quits her job in the other state, moves her family, and begins to work for Nadia. After three months, Nadia terminates Zoey's employment. Zoey sues Nadia, claiming they had a contract for two years. If Nadia defends the lawsuit by claiming the contract could not be enforced because it violates the statute of frauds, the court will likely hold in favor of: 1. Zoey, under the theory of promissory estoppel. 2. Zoey, because the agreement violated the statute of frauds. 3. Nadia, because enforcement of the promise is necessary to avoid injustice. 4. Nadia, under the theory of promissory estoppel.
executory
Quon and Bert have signed a contract for Bert to mow Quon's grass every week in June, July, and August for a price of $40 per week. They have agreed to all the necessary terms, but Bert has not yet mowed because it is still May. What type of contract do they have?
Matilda may rescind the contract on the grounds that she signed the contract under duress.
Selma wants to buy Matilda's house. Selma has been admiring the house for a long time and has asked Matilda repeatedly to sell the house to her, but Matilda has always refused. Finally, Selma tells Matilda that if Matilda does not sell Selma the house, Selma will kill Matilda's daughter. Afraid for her daughter's life, Matilda signs the contract to sell the house to Selma. If Matilda later tries to rescind the contract: Matilda may rescind the contract on the grounds that she signed the contract under duress. Matilda may rescind the contract on the grounds of undue influence. Matilda may rescind the contract on the grounds of unconscionability. Matilda may not rescind the contract because it has all the elements of a valid contract.
The personal service requirement must be stated.
What does the law require for a personal service contract?
promissory estoppel
What is an exception to the statute of frauds?
good faith
What is the implied duty in every contract that each party will deal fairly with the other?
The defendant was unjustly enriched.
What must a plaintiff show to be awarded a quasi-contract in a lawsuit?
1, 2, 4 (suspending performance requiring assurance cover)
What remedies are available after an anticipatory repudiation? Choose 3 answers. 1. suspending performance 2. requiring assurance 3. canceling all other contracts with the breaching party 4. cover
the typical type of acceptance to an offer
What type of acceptance requires an affirmative action for the offeree to accept that offer? Unilateral contracts Browsewrap Agreements The typical type of acceptance to an offer Offeree's silence in response to an offer
voidable
What type of contract is created by an agreement that is oral when it is required by the Statute of Frauds to be in writing?
Wilton World's attorney.
Wilton World is a huge hotel chain. The Wilton World Hotel in San Francisco wants to hire a local artist to paint some landscapes of the Bay area to display in its hotel. Carl contacts the San Francisco Wilton World manager and shows them samples of his paintings. The manager is very pleased with Carl's work and offers Carl $5,000 to paint six landscape paintings. Carl eagerly accepts, so they begin to discuss who should draft the contract. The contract will probably be drafted by:
an implied contract
Zayn boards the Big Rock Metro to ride downtown to his job. Zayn gives his money to the driver and takes his seat. Neither the driver nor Zayn says anything. Zayn and the bus driver have: 1. a formal contract. 2. an express contract. 3. an implied contract. 4. no contract.
is not enforceable because it violates the statute of frauds.
arold offers to sell Emma his farmland in Bryson County. After discussing the sale at length in front of their friends Nicole and Jackson, Harold and Emma orally agree on a price of $120,000 for the land. The next day, Emma goes to the bank and withdraws $120,000 to pay Harold for the land. When Emma presents the $120,000 to Harold, Harold tells Emma he was just joking and does not wish to sell the land. Emma tries to enforce the deal, and Harold continues to refuse by saying that the deal was not in writing, and, therefore, it is unenforceable. The contract between Harold and Emma for the sale of the land: is not enforceable because it violates the statute of frauds. is not enforceable because of the theory of promissory estoppel. is enforceable because it complies with the statute of frauds. is enforceable, because there are witnesses to the deal.
a material breach.
A violation of the terms of a contract which defeats an essential purpose of the contract is:
Arnold promises to build the house to Oswald's specifications. Oswald agrees to pay for the work on completion according to the terms set out in the agreement.
Arnold, a contractor, enters into an agreement with Oswald to build a house for Oswald. In the agreement, Arnold promises to build the house to Oswald's specifications. Oswald agrees to pay for the work on completion according to the terms set out in the agreement. Arnold states that he is licensed by the state contractors licensing board. Which of these statements are covenants?
Attorney Frost's primary goal in drafting this contract is to protect Siri from litigation, or, if litigation does occur, making sure the contract has been drafted in such a way that Siri wins.
Arvitz and Siri have been friends for thirty years. Arvitz agrees to sell Siri a fifty percent ownership in his bait and tackle shop for $50,000. Because they are such good friends, Arvitz thinks they do not need to contact a lawyer to draw up an agreement; after all, a partnership can be created without a formal written agreement. Siri thinks it would probably be a good idea to have a lawyer draft an agreement, so he contacts Attorney Frost about drawing up the contract. What is Attorney Frost's primary goal in drafting the contract?
unilateral contract
Brindley has an old shed on her property that needs to be removed. She posts the following ad on Facebook: "Shed needs to be gone. You take down and haul away. (Much of the wood is reusable.) $100 to the first person to show up and haul this away." This is an example of a(n): bilateral contract. unconscionable contract. unilateral contract. illegal contract.
Evelyn will probably receive the contract price less the cost to replace the pool liner with a fiberglass liner.
Danny hires Evelyn to install a swimming pool at Danny's home for $40,000, to be completed by June 1. Evelyn completes the job on time. When Danny inspects the pool, he discovers that Evelyn used a vinyl lining, and the contract called for a fiberglass lining. Danny refuses to pay Evelyn, stating that Evelyn breached the contract because the contract was not completed according to the specifications stated in the contract. If Evelyn sues Danny for the contract price:
Evan's performance under the contract will be excused due to impossibility of performance.
Evan offers to sell his 2016 John Deere Tractor to Jorge for $30,000. Jorge accepts and promises to meet Evan on Saturday to make the exchange. On Thursday, a fire on Evan's farm totally destroys the tractor. Jorge is upset, because the price of the tractor was really good, and he knows he cannot get another one for that price. If Jorge sues Evan for breach of contract, the likely result will be that:
They may require that a contract modification be in writing.
How may rules about parol evidence impact a contract modification?
No, Roseworld will not be successful in its lawsuit against Jane because the contract is ambiguous.
Jane decides to terminate her position with Roseworld Flowers after six years of employment. When Jane was hired, she signed Rosewood's standard employee agreement. In the agreement, Jane agreed not to work for a competitor in the same county for three years. Three months after Jane terminates her employment, she begins work for Tipton Florist, a florist in the same county as Roseworld. Roseworld sues Jane for violating the terms of her employee agreement because she went to work for a competitor less than three years after her termination with Roseworld. Jane defends by stating that the agreement prohibited her from working for a competitor in the same county for three years from the date of the agreement, which was six years ago. Will Roseworld be successful in its lawsuit against Jane?
boilerplate creates a private law that governs disputes between the parties.
Lorenzo and Antonio agree that Antonio will buy Lorenzo's Go Cart Fun Park for $300,000. Lorenzo asks his lawyer to draft the contract. Lorenzo is surprised when the contract that the attorney drafts contains more than the description of the property, the price, and the payment terms. The contract also contains paragraphs that describe the choice of law and forum, how the contract can be modified, terms for assigning rights and delegating duties under the contract, and an arbitration clause. Lorenzo's lawyer explains to Lorenzo that these are boilerplate, and that they are important because:
Yes, it can be enforced under the equitable remedy of specific performance.
Manuel contracts to sell a painting that was painted by his deceased grandmother, then has a change of heart and decides to hang it in his own bedroom. He notifies Nadine, the person who had planned to buy it. Can Nadine have the contract enforced?
from Pat an amount less than the contract amount that will reimburse Greencare for expenses incurred, in order to avoid unjust enrichment.
Mia contracted with Greencare Lawn Service for a pest treatment on Mia's lawn for $1,000. Pat lives next door to Mia. Greencare mistakenly treats Pat's lawn instead of Mia's. Pat watched them perform the treatment while looking through the window of his living room, but did not go outside and stop them. When Greencare seeks payment from Pat, Greencare can probably receive:
Ruby, because she is a minor, but Ruby must return the car.
Ruby, a seventeen-year-old, purchases a car from Smitz Used Auto Sales and agrees to pay for it over a period of twenty-four months. Ruby makes the payments for four months but then decides the car payment is too much for her limited budget. Ruby tells Smitz that she wants to stop making payments and that she wants out of the contract completely. The contract between Ruby and Smitz can be canceled by: Ruby, because she is a minor, but Ruby must return the car. Smitz, because Ruby is a minor, but Smitz must allow Ruby to keep the car. Smitz or Ruby, because Ruby is a minor, and Ruby may keep the car. Ruby, because she is a minor, and Ruby may keep the car.
implied-in-fact
Sal has ordered 100 pounds of shrimp for his restaurant from Sam every Friday for 5 years and has always paid that week's market price. One Friday, Sal decides to take a vacation but doesn't tell Sam. Sam claims they have a contract, even though it was never written down. What kind of contract do they have?
3, 4 (The contract is voidable if Samuel was incompetent at the time the contract was formed. The contract is void if Samuel has been previously determined to be mentally incompetent.)
Samuel has mental competency issues. Samuel entered into a contract with Beth, but now Samuel is petitioning the court to terminate the contract. What options does the court have in ruling in the case? Choose 2 answer choices. 1. The contract is void if Samuel was incompetent at the time the contract was formed. 2. The contract is voidable if a court has previously determined Samuel to be mentally incompetent. 3. The contract is voidable if Samuel was incompetent at the time the contract was formed. 4. The contract is void if Samuel has been previously determined to be mentally incompetent.
3, 4 (The breach was not intentional. He or she acted in good faith.)
What must a party show to win a substantial performance lawsuit? Choose 2 answer choices. 1. The breach caused no monetary damages. 2. There were no deviations from the contractual requirements. 3. The breach was not intentional. 4. He or she acted in good faith.
2, 3, 4 (conducting trade with a country that is an enemy to the United States a candidate for public office paying his competitor to retire employment contracts that forbid membership in a union)
What types of contracts violate public policy? Choose 3 answers. 1. a contract to allow a political candidate exclusive use of billboards you own 2. conducting trade with a country that is an enemy to the United States 3. a candidate for public office paying his competitor to retire 4. employment contracts that forbid membership in a union
a detailed advertisement
Which act or statement is a valid offer? A typical advertisement A detailed advertisement A price quote A completed auction with a reserve
ambiguous terms
Which of the following are interpreted against the best interests of the drafter of the contract?
1, 3, 4 (promises made in consideration of marriage collateral promises to pay the debt of another person contracts for the sales of land)
Which of these types of contracts must be in writing under the requirements of the Statute of Frauds? Choose 3 answers. 1. promises made in consideration of marriage 2. contracts for the sale of goods priced at $1,000 or more 3. collateral promises to pay the debt of another person 4. contracts for the sales of land
2, 3 (Lilly's silence is acceptance because of the parties' past dealings. Lilly's silence is acceptance because the offeree accepted the benefit offered.)
Lilly hired Harris Lawn Service to cut her grass one summer, and paid through automatic charges to her credit card. After taking three months off for winter weather, Harris staff cut Lilly's grass for four weeks in a row before charging the fees on Lilly's credit card. Lilly protested the charges, stating she did not hire the company to cut grass for the second summer. Harris sues Lilly. What law applies? Choose 2 answer choices. 1. Lilly's silence is not acceptance and Harris's service in the spring is considered a gift to her. 2. Lilly's silence is acceptance because of the parties' past dealings. 3. Lilly's silence is acceptance because the offeree accepted the benefit offered. 4. Lilly's silence is not acceptance in this case because the offeree must affirmatively accept the terms of the offer in full and communicate that acceptance to the offeror.
if Marie's children can prove that Marie lacked the mental capacity to comprehend the nature, purpose, and consequences of the contract.
Marie and Molly enter into a written contract to sell Marie's home to Molly. At the time the contract is executed, Marie tells Molly that for the last six months she has been sharing the home with a family of extraterrestrial beings. Marie states that she has asked the extraterrestrials to move out, but they won't; therefore, she is selling the family home to get rid of them and is willing to sell the home to Molly for well below market price. After the sale of the home is complete, Marie's children challenge the sales contract on the grounds that Marie did not have the mental capacity necessary to enter into a contract, even though Marie has not been declared incompetent by the courts. The contract between Marie and Molly can be rescinded: under no circumstances, because Marie was not adjudicated insane before she signed the contract. if Marie's children can prove that Marie lacked the mental capacity to comprehend the nature, purpose, and consequences of the contract. only if Marie's children have Marie committed. by either Marie or Molly.
3, 4 (One is monetary. One requires actions instead of damages.)
What are the differences between legal and equitable remedies? Choose 2 answer choices. 1. Both attempt to reform the contract. 2. One attempts to assist one party and penalize or restrict the other party. 3. One is monetary. 4. One requires actions instead of damages.
2, 3 (Promises must be made with voluntary consent. Promises exchanged may not be a preexisting duty.)
What factors are used to judge if consideration is adequate to ensure a fair bargain? Choose 2 answers. 1. Consideration must be a promise to pay money. 2. Promises must be made with voluntary consent. 3. Promises exchanged may not be a preexisting duty. 4. Items or promises exchanged must be of nearly equal value.
1, 4 (One party is being enriched at the expense of the other. The enriched party knows about the benefit and keeps it.)
What factors make an agreement enforceable under the principle of quasi-contract? Choose 2 answers. 1. One party is being enriched at the expense of the other. 2. The enriching party is negligent. 3. The courts determine that an enforceable contract exists. 4. The enriched party knows about the benefit and keeps it.
2, 3, 4 (severe intoxication being under the age of majority (usually 18) mental incompetence)
What factors may cause a person to lack contractual capacity? Choose 3 answers. 1. being an emancipated minor 2. severe intoxication 3. being under the age of majority (usually 18) 4. mental incompetence
Legal remedies are monetary while equitable remedies are non-monetary.
What is the difference between legal remedies and equitable remedies for breach of contract?
requiring written evidence of agreements concerning important transactions
What is the primary purpose of the Statute of Frauds?
1 (Jayden wants to present evidence that Jignesh verbally promised he would include the trailer with the boat he sold to Jayden.)
Which is NOT an exception to the parol evidence rule? 1. Jayden wants to present evidence that Jignesh verbally promised he would include the trailer with the boat he sold to Jayden. 2. Jayden has evidence that Jignesh misrepresented portions of the deal they made and would like to present this evidence to terminate the contract. 3. Jayden wants to present evidence that Jignesh agreed to deliver the boat to Jayden before Memorial Day of next year, but the contract incorrectly states the delivery will take place before Memorial Day 2098. 4. Jayden has evidence that he and Jayden agreed to move back the boat delivery date from the original date in the contract when Jayden discovered a hole and Jignesh agreed to repair it before delivery.
1, 3 Isomething of value from each party an exchange to which the parties agree)
What are the elements of consideration? Choose 2 answer choices. 1. something of value from each party 2. past consideration 3. an exchange to which the parties agree 4. a preexisting duty
2, 4 (The level of the performance of the contractual obligations Whether the court will discharge the contract)
What are the legal differences between a material breach and an immaterial breach of contract? Choose 2 answer choices. 1. The dollar amount of damages 2. The level of the performance of the contractual obligations 3. Whether a party has announced repudiation of the contract 4. Whether the court will discharge the contract
2, 4 (It may only be accepted by the intended offeree or the offeree's agent. Acceptance must be unequivocal with no requests for changes in the offer.)
What conditions must be met for an offer to be legally accepted? Choose 2 answers. 1. Acceptance must be communicated in words, either written or oral. 2. It may only be accepted by the intended offeree or the offeree's agent. 3. The offer must be accepted within 24 hours of communication. 4. Acceptance must be unequivocal with no requests for changes in the offer.
1, 2, 4 (The offeror must intend to be bound by the offer. The terms of the offer must be reasonably definite so that all parties understand them. The offer must be communicated to the offeree.)
What elements are required for an offer to be effective under the common law? Choose 3 answers. 1. The offeror must intend to be bound by the offer. 2. The terms of the offer must be reasonably definite so that all parties understand them. 3. The offer must be irrevocable for a set period of time to allow acceptance. 4. The offer must be communicated to the offeree.
2, 3, 4 (There was a detrimental result from reliance on the promise. The promise must be definite and relied upon. Enforcement of the promise is necessary to avoid injustice to the promisee.)
What elements are required for courts to apply the doctrine of promissory estoppel? Choose 3 answers. 1. There must have been consideration given with the promise. 2. There was a detrimental result from reliance on the promise. 3. The promise must be definite and relied upon. 4. Enforcement of the promise is necessary to avoid injustice to the promisee.
1, 2 (Evidence showing a change to the contract after it is signed Evidence to prove agreement on an essential element of the contract)
What evidence outside of the written contract is a party allowed to present? Choose 2 answer choices. 1. Evidence showing a change to the contract after it is signed 2. Evidence to prove agreement on an essential element of the contract 3. Verbal negotiations leading to the signing of the contract 4. Evidence showing an agreement that is different from the contract that the parties agreed to before the contract was signed
2, 3 (Subjective personal taste Objective, reasonable person standard)
What is the evaluation standard for a personal satisfaction contract? Choose 2 answer choices. 1. Expert standards 2. Subjective personal taste 3. Objective, reasonable person standard 4. Accepted standards for the area or region
quantum meruit
What is the principle that is applied to determine how much compensation a party receives in a quasi-contract settlement?
1, 2 (The parties can complete the contract. The contract is voidable.)
What is the result if parties agree to a contract orally, but it is a contract that must be in writing under the statute of frauds? Choose 2 answer choices. 1. The parties can complete the contract. 2. The contract is voidable. 3. The contract is illegal. 4. The contract is void.
2, 4 (satisfaction of a reasonable person satisfaction of the receiving party (buyer))
What is the standard to which most personal satisfaction contracts must adhere? Choose 2 answers. 1. satisfaction of an expert third party 2. satisfaction of a reasonable person 3. satisfaction of the performing party (seller) 4. satisfaction of the receiving party (buyer)
1, 4 (Christopher agrees to sell his washer and dryer to Ella. Ella thinks the dryer uses gas instead of electricity, but she is incorrect. Christopher agrees to sell his washer and dryer to Ella in "as is" condition. Ella thinks the set is in excellent condition and is willing to take a chance on buying it. Neither works after a few weeks of use.)
Which of these contracts would be enforceable, despite the existence of a mistake? Choose 2 answer choices. 1. Christopher agrees to sell his washer and dryer to Ella. Ella thinks the dryer uses gas instead of electricity, but she is incorrect. 2. Christopher agrees to sell his washer and dryer to Ella. Christopher overhears Ella telling her friend that she is happy she is getting such a great deal on a new washer and dryer, although Christopher knows he has used them for a year, but he does not correct her. 3. Christopher agrees to sell his washer and dryer to Ella. He bought them at a yard sale and the sellers told him they were new. Ella believes they are new as well and, as a result, pays a higher price. When Ella encounters problems, a friend shows her parts that are worn. 4. Christopher agrees to sell his washer and dryer to Ella in "as is" condition. Ella thinks the set is in excellent condition and is willing to take a chance on buying it. Neither works after a few weeks of use.
2 (Pam agrees to pay Derek $500 if he does not sit next to her in class anymore.)
Which situation would be considered sufficient consideration for a contract to exist? 1. Alice's grandson quit smoking, so Alice promises to give him $5,000. 2. Pam agrees to pay Derek $500 if he does not sit next to her in class anymore. 3. Bethany is remodeling a kitchen for Tonya. Bethany tells Tonya she will finish the work within a reasonable time if Tonya pays her a bonus. 4. Alice promises to give her granddaughter $10,000.
2 (A minor may enter into any contract an adult can, except for contracts that are expressly prohibited for minors.)
Which statement is true about the ability of minors to enter into contracts? 1. A minor may enter into a contract but must ratify it within one year of the date of the contract. 2. A minor may enter into any contract an adult can, except for contracts that are expressly prohibited for minors. 3. A minor cannot legally enter into contracts. 4. A minor may enter into a contract only if the minor has an adult co-signer.