General Information

Question 1

What are the 3 basic questions of contracts/advanced sales?

Answer 1

1) Has an enforceable contract been formed?
2) Has the contract been performed? (Or is the performance excused)
3) What are the remedies for breach?

Question 2

What are the two contracts universes and when are we in them?

Answer 2

1) Common Law - in this universe when a contract is for real estate or services
2) Uniform Commercial Code - in this universe when the contract deals with goods

Question 3

What is a merchant under the UCC?

Answer 3

Someone who regularly deals in the type of goods at issue (businessperson or salesperson)

Question 4

What are the two rules that apply to mixed contracts?

Answer 4

1) “All or nothing” rule - the contracts must fall into one universe or the other, unless it is a divisible contracts
2) “Predominant purpose” rule - what is the main reason for entering into the contract - does a good or a service play a bigger part in the contract

Question 5

What is a divisible contract?

Answer 5

An agreement that is divided into mini contracts, which can each be ruled by a separate universe