Bar Prep - Contracts: Key Definitions

Question 1

What is the definition of a contract?

Answer 1

Legally enforceable agreement.

Question 2

What is a unilateral contract?

Answer 2

Contract that requires performance as the only possible way of acceptance.

Question 3

What is the definition of an option contract?

Answer 3

Contract that limits an offeror’s power to terminate an offer. It is a distinct contract in which an offer gives consideration for a promise by the offeror not to revoke an outstanding offer.

Question 4

What is an illusory promise?

Answer 4

Promise to choose one of several alternative means of performance = illusory, unless every option involves some sort of legal detriment.

Question 5

What is ratification?

Answer 5

A new valid promise to perform a voidable obligation; ex. when an infant reaches the age of majority.

Question 6

What is required for the valid formation of a contract?

Answer 6

Legally enforceable agreement requires offer, acceptance of bargained for exchange.

Question 7

Contracts for the sale of real estate must contain what terms at minimum?

Answer 7

Terms must include PRICE and DESCRIPTION, at minimum.

Question 8

Contracts for the sale of goods must contain what terms at minimum?

Answer 8

Terms must include QUANTITY of goods at minimum.

Question 9

What is the effect of conditional acceptance on an offer under (i) CL, and (ii) UCC?

Answer 9

(i) Rejects offer and becomes a counter offer.

(ii) Terminates the offer.