intro to contracts

Question 1

Contract

Answer 1

legally enforceable agreement, a promise the law will enforce

Question 2

7 key characteristics that MUST be present to enforce a contract

Answer 2

1. Offer
2. Acceptance
3. Consideration
4. Legality
5. Capacity
6. Consent
7. Writing

Question 3

3 other important issues that can arise in contracts

Answer 3

1. Third party interest
2. Performance and discharge
3. Remedies

Question 4

Third party interest

Answer 4

can a third party sue someone in a contract

Question 5

Performance and Discharge

Answer 5

party fully accomplishes a contract but was their performance enough to satisfy

Question 6

Remedies

Answer 6

a court will award money or other relief to a party injured by a breach of contract

Question 7

Bilateral Contract

Answer 7

both parties make a promise (most commonly used)

Question 8

Unilateral Contract

Answer 8

one party makes a promise that the other party can accept only by actually doing something (less common)

Question 9

Executory

Answer 9

when a contract has been made but one or more parties has not yet fulfilled its obligations

Question 10

Executed

Answer 10

when all parties have fulfilled their obligations

Question 11

Valid Contract

Answer 11

satisfies all of the law requirements and has no problems in any of the 7 must needed characteristics

Question 12

Unenforceable agreement

Answer 12

occurs when the parties intend to form a valid bargain but a court declares that some rule of law prevents enforcing it

Question 13

Voidable Contract

Answer 13

Occurs when the law permits one party to terminate the agreement

Question 14

Void agreement

Answer 14

neither party can enforce. usually because the purpose of the deal is illegal or because on of the parties had no legal authority to make a contract

Question 15

Express Contract

Answer 15

the two parties explicitly state all the important terms of their agreement (majority uses)

Question 16

Implied Contract

Answer 16

The words and conduct of the parties indicate that they intended an agreement

Question 17

Promissory Estoppel

Answer 17

the defendant made a promise that the plaintiff relied on (usual circumstance)

Question 18

Quasi Contract

Answer 18

Defendant received a benefit from the plaintiff (unusual circumstance)

Question 19

If there is no contract can a plaintiff use promissory estoppel to enforce the defendants’ promise?

Answer 19

yes

Question 20

What must a plaintiff show to use promissory estoppel

Answer 20

1. defendant made a promise knowing the plaintiff would likely rely on it
2. plaintiff did rely on the promise
3. the only way to avoid injustice is to enforce the promise

Question 21

Can a court use Quasi Contract to a compensate a plaintiff even if there is no contract

Answer 21

yes

Question 22

What must a plaintiff show to use Quasi contract

Answer 22

1. the plaintiff gave some benefit to the defendant
2. the plaintiff reasonable expected to be paid for the benefit and the defendant knew this
3. the defendant would be unjustly enriched if he did not pay

Question 23

Quantum meruit

Answer 23

damages awarded, meaning that the plaintiff gets “as much as he deserves”

Question 24

Express contract:

1. did the defendant make a promise?
2. is there a contract?

Answer 24

1. yes
2. yes
   parties intend to contract and agree on explicit terms

Question 25

Implied Contract:

1. did the defendant make a promise?
2. is there a contract?

Answer 25

1. not explicitly
2. yes
   partied do not formally agree. follow words and conduct

Question 26

Promissory Estoppel:

1. did the defendant make a promise?
2. is there a contract?

Answer 26

1. yes

2. no

Question 27

Quasi contract:

1. did the defendant make a promise?
2. is there a contract?

Answer 27

1. no

2. no

Question 28

Common law as a source of contract law

Answer 28

contracts decided using common law- law principles can be differ t in every state

Question 29

Uniform Commercial Code as a source of contract law

Answer 29

wanted a body of law for business transactions that reflected modern commercial method and provided uniformity throughout the United States

Question 30

UCC Article 2

Answer 30

MOST IMPORTANT PART OF THE CODE

governs the state of good, meaning anything moveable except for money, securities, and legal rights