First Quarter Final Exam Flashcards
(82 cards)
1
Q
Acceptance
A
assent to an offer indicating an agreement to accept it’s term
2
Q
Administrative Agency Law
A
- Commissions created by legislature
- Enact rules to regulate business and industry
(ex. FTC, OSHA ADA)
3
Q
Affirmance
A
- confirmation of something previously done
- Minor can only affirm or ratify after reaching adulthood and
- can only disaffirm as a minor (after affirming, you cant disaffirm)
4
Q
Are contracts from incompetent people valid?
A
- Adjudicated Incompetent people= void
- Nonadjudicated Incompetent people= voidable like a minor until person is adjudicated
5
Q
Are contracts with a minor valid?
A
Yes, voidable (the minor’s option) except for necessities
6
Q
Assignments
A
transferring rights under a contract to a 3rd party; assignor to assignee
7
Q
Beneficiary
A
person not a party to a contract that receives some benefit from it.
8
Q
Bilateral Contract
A
a promise given in exchange for another’s promise
9
Q
Bilateral/Mutual Mistake
A
- Majority states say void
- Some states say voidable
- In any event, it is unenforceable
- Must be mistake as to material part of contract such as the subject matter
10
Q
Business Law
A
laws regarding the performance of business and commercial transactions
11
Q
Case Law
A
- Appellate court decisions
- stare decisis (stand by the decision)
12
Q
Civil Law
A
laws concerning private rights between individuals
13
Q
Classification of the State Court System
A
a)Trial court – court of original jurisdiction. Known by many names depending on the state and location
b) Appellate Courts
1. Court of Appeals
2. Supreme Court of the state
14
Q
Common Law
A
- History and source of American Laws
- a custom which has become recognized by the courts as binding on the community. Still referred to today in some cases.
- Laws the Pilgrims brought from England.
15
Q
compensatory
A
Actual damages you suffer.
16
Q
Complaint/Petition
A
the lawsuit
17
Q
Consideration
A
- Whatever a promisor (offeror) gives or promises to give to another in exchange for that other person’s promise or action to give to them.
- Both parties must give consideration but does not have to be equal. Must be something of value
Ex. You pay a contractor half the cost to build a shed before he begins building it. So he is bound to begin working and when he begins the work, you’re bound to pay him once the work is complete.
18
Q
Constitution of the United States
A
- supreme law of the US
- defines relationship between different branches of government to each other and to the people
- Has the Bill of RIghts (1st 10 amendments)
19
Q
creditor beneficiary
A
loans money to a party of a contract
- may sue for breach
20
Q
Crime
A
- offense against society as a whole,
- violation against a statute or ordinance
- felony and misdemeanor
21
Q
Defendant
A
person being sued
22
Q
Delegation of duties
A
transferring your obligation to a 3rd party
23
Q
Disaffirmance
A
renouncing a contract previously accepted (only minors can do this)
24
Q
Discovery
A
depositions (oral) and interrogatories (written)
25
Divisible Contracts
Many parts that can be preformed separately
26
Donee Beneficiary
one who receives a gift under a contract
- may sue for breach
27
Equity
relief sought in lieu of money damages which would be awarded by a law court. Ex: suit in equity for a restraining order
28
Executed Contract
all terms have been completely performed
29
Executory Contract
all terms have not been completely performed
30
Expressed
all terms are stated either orally or written
31
Forbearance
- promising (forbearing) not to do something.
- Can act as consideration if you had a legal right to do it.
32
Formal Contract
Some states require a formality such as witnesses, a seal or notary
additional requirement for a valid contract
33
Function of the Courts
Listen to facts, evidence, etc. as it applies to the issue of law and make a decision
34
Indivisible
All parts are performed as one
35
Judge
bench trial (judge only)
the decision by a judge
36
Jurisdiction
- subject matter
- court must have authority to hear a particular case;
- personal (over the parties)
37
Jury
- A verdict
- must be written (some states require a signature of all jurors)
38
Law
rule of civil conduct commanding to do what is right and prohibiting what is wrong
39
Liquidated
amount of money shown in contract if contract is breached
40
Mailbox Rule
contract/agreement/paperwork must be postmarked by a certain time
41
Minor
- age at common law an adult was 21., but state statutes could be different
- Most states – a minor is 17 and under for contractual purposes
42
Necessities
food, clothing, shelter, medical, insurance, items necessary for school or work
43
Nominal
breach of contract but no one suffers
44
Offer and Acceptance
offeror proposes terms to an offeree
Only the offeree can accept the offer
45
Option Contract
offeror accepts something of value to keep the offer open for a specified time
46
Ordinances
Statutes enacted by local governments
47
Parol Evidence Rule
can not introduce oral testimony to change terms of a written contract
48
Plaintiff
person who files a lawsuit
49
Punitive
money awarded to punish the other party; over or above
50
Quasi Contract
- an after-the-fact contract between two parties who were otherwise not in a legal commitment to one another.
- mandated by a judge seeking to address a situation where one party benefited from something at the expense of the other.
51
Ratification
giving formal consent to a contract making it officially valid
52
Reason to Terminate Contracts
- Performance: must be substantial and satisfactory to both parties
- By Operation of Law: Bankruptcy, expiration of statute of limitations (5 years for verbal, 10 years for written), material alteration of a written contract
- Impossibility of Performance: death (can have exceptions), insanity, illegality
- Voluntary Agreement to terminate contract
53
Remedies for Breach of Contract
you can either rescind and walk away OR sue for breach of contract
54
Requirements for a Statutes of Frauds contract
- can be a note or memorandum
- all material terms must be stated
- in existence by time of suit
- signed by party being sued
Parol Evidence Rule applies
55
Restraint of Trade
Price fixing, dividing trade territories, and lesson competition
56
Rules for Delegation of Duties
1. can not transfer personal service contracts
2. transferor is not relieved of liability
3. if new party is substituted in for a party and other original party agrees to release the transferor of liability, a new contract is formed and is called a “Novation”
57
Simple Contract
a contract not requiring a formality
58
Specific Performance or relief in equity examples
Examples: injunction=perminant, restraining order= temporary, replevin= suite to recover personal property, performance
59
Statute
enacted by state or federal government
60
Statute of Frauds
- Contracts required to be in writing (can't sue if it's not in writing)
- applies to executory contracts only
61
Statutory Law
formal enactments of a law by a legislature
62
Subpoena
served on a witness
63
Summons
served upon defendant
64
Types of Money Damages
compensatory/actual
punitive
nominal
liquidated
65
Unilateral Contract
a promise given in exchange for an act to be performed
66
Unililateral Mistake
- only one party makes a mistake
- has no effect on validity
67
Usary
charging an excessive rate of interest for the loaning of money
68
Valid Contract
Completely enforceable by either party.
69
Venue
location where a case is heard
(ie: state, county, city)
70
Void
Completely unenforceable
71
Voidable
valid but may be avoided by either or both parties
72
What contracts are illegal by statute?
a) Gambling Contracts
b) Sunday Contracts
c) Usury
d) Unlicensed Operators
e)Sale of Prohibited Articles
f) Restraint of Trade
73
What type of contracts have to be in writing?
Statute of Frauds
- sale of land (real property) - impossible to perform within one year
- promise to pay the debts of another person
- agreements of executor or administrator to pay debts of an estate out of their own funds
- any promise in consideration of marriage
- sale of personal property in the amount of $500 or more, under UCC
74
Writ of Certiorari
order to produce the record of a case heard by a lower court
75
Precedent
court decision that may determine the decision in a subsequent case with the same facts and issues of law
76
Requirements of a Valid Offer
definite, seriously intended, communicated to offeree
77
Who can accept an offer?
Anyone except:
- minors- voidable except for necessities (food, clothing, shelter, medical, insurance, items necessary for school/work)
- adjudicated incompetent people- void
- unadjudicated incompetent people-voidable
- intoxicated people- same as minors
78
Contracts not to compete
can be legal if reasonable re: time and area
79
Unlicensed Operators
illegal to operate certain businesses without a license; contracts made under unlicensed operators are void
80
Sue for specific performance/ suit in equity
a court issues an order requiring a party to perform a specific act, and to specifically perform according to the terms of a contract.
81
Stare Decisis
the legal principle of determining points in litigation according to precedent.
- to stand by things decided
82
Requirements of a valid contract
mutual agreement
competent parties
consideration
legality
