Business Law - Contracts

Question 1

What is a unilateral contract?

Answer 1

A promise in exchange for an act

Question 2

What is a bilateral contract?

Answer 2

A promise in exchange for a promise creating a contract.

Question 3

Will offers terminate immediately upon death of the offeror?

Answer 3

Yes

Question 4

Can offeror set condition on the method and timeliness of acceptance?

Answer 4

Yes

Question 5

If $5,000 is owed April 30 and borrower offers $4,000 for full satisfaction on April 1 and person accepts, does this constitute accord and satisfaction?

Answer 5

Yes. Because there is 30 days notice and it was accepted.

Question 6

In determining whether the consideration to form a contract has been satisfied, the consideration exchanged by the parties to the contract must be:

Answer 6

Legally sufficient

Question 7

Which agreements can be admitted into evidence because they are not prohibited by the parol evidence rule?

Answer 7

Subsequent oral agreements

Question 8

What constitutes duress?

Answer 8

Threats that overcome someone’s free will forcing them into a contract

Question 9

Are all contracts with someone that is declared incompetent considered void?

Answer 9

Yes

Question 10

Is a contract voidable if it is fraud in the inducement?

Answer 10

Yes - the person can rescind or go forth with it

Question 11

Is a contract through duress through physical compulsion considered void?

Answer 11

Yes

Question 12

Which condition will prevent the formation of an enforceable sale of goods contract?

Answer 12

Open acceptance

Question 13

Under the UCC Sales Article, the warranty of title may be excluded by

Answer 13

The seller’s statement that it is selling only such right or title that it has