Chapters 13-15 Flashcards
(33 cards)
parol evidence rule
the rule that any spoken or written words in conflict with what the written contract states cannot be introduced as evidence in a court of law
Statute of Frauds
a law requiring certain contracts to be in writing to be enforceable
executor
a personal representative named in a will to handle matters involving the estate of a deceased person
administrator
a personal representative named by the court to perform as the executor would in instances in which the deceased person has not left a will
guaranty
a promise to pay the debts or settle the wrongdoings of another if he or she does not make settlement personally
antenuptial/prenuptial agreement
an exchange of promises made by persons planning to marry
auction sale
a sale in which goods are sold to the highest bidder
memorandum
a written contract or agreement
third party beneficiary
a person who is not a party to a contract but is intended by the contracting parties to benefit as a consequence of a contract
incidental beneficiary
a person who will benefit as an indirect consequence of a contract, although that was not the intent of the contracting parties
assignment
the transfer of a contract right to a third party who can receive the benefits of the contract
assignor
the person who transfers his or her rights in an assignment
assignee
the third party to whom rights are transferred in an assignment
guarantor
the party who guarantees the promises assigned
personal service contract
a contract in which services that require a unique skill, talent, ability, and so forth are provided by a specific person
delegation
the appointment of a third party by a party to an existing contract to perform contractual duties that do not involve unique skills, talents, abilities, and so on
bankruptcy
a condition in which a person or business is legally recognized as unable to pay legitimate debts
novation
a situation in which all parties to a contract agree to a significant change to a contract
substantial performance
when a party to a contract, in good faith, executes all of the promised terms and conditions of the contract with the exception of minor details that do not affect the real intent of their agreement
tender of performance
an offer to perform that is considered evidence of a party’s willingness to fulfill the terms of a contract
tender of goods
an offer to provide the goods agreed upon that is considered evidence of a party’s willingness to fulfill the terms of a contract
tender of payment
a money offer of payment of an obligation
impossibility of performance
when unforeseen circumstances make it impossible to fulfill the terms of a contract; in these cases, the contract is considered void
frustration of purpose
a doctrine that states that where both parties know the purpose of a contract and, through no fault of either party, the reason for the contract no longer exists, the contract is terminated
