CPA REG: Contracts
Unilateral Contract - ANSOne promise, which is given in exchane for performance. Contract
is not formed until performance is completed
Bilateral Contract - ANSTwo promises, a promise is exchanged for a promise. Contract is
formed as soon as the promises are exchanged.
Executory Contract - ANSduties remain to be performed
Executed Contract - ANSall the duties under the contract have been performed
Common Law - ANSnon-sale of goods:
Real Estate
Insurance
Services
Employment
UCC - ANSsale of goods (movable things)
Elements of a Contract - ANS1. An ageement make up of an offer and acceptance;
2. An exchange of consideration; and
3. A lack of defenses
Offeror - ANSmakes offer
Offeree - ANSreceives offer
Express Offer - ANSoral or written
Implied Offer - ANSbased on conduct
Offer - ANSCommunication must create a reasonable expectation in the offeree that the
offeror intends to make a contact
3 Questions of an Offer - ANS1. Was there a manifestation of intent to contract?
2. Was there definiteness and certainty in the essential terms?
3. Was there communication of the above to the offeree?
Intent to Contract - ANSobvious joke is not an offer. would a reasonable person believe the
offer is serious?
Definite and Certain - ANSMust include:
1. identity of the offeree
2. price
Unilateral Contract - ANSOne promise, which is given in exchane for performance. Contract
is not formed until performance is completed
Bilateral Contract - ANSTwo promises, a promise is exchanged for a promise. Contract is
formed as soon as the promises are exchanged.
Executory Contract - ANSduties remain to be performed
Executed Contract - ANSall the duties under the contract have been performed
Common Law - ANSnon-sale of goods:
Real Estate
Insurance
Services
Employment
UCC - ANSsale of goods (movable things)
Elements of a Contract - ANS1. An ageement make up of an offer and acceptance;
2. An exchange of consideration; and
3. A lack of defenses
Offeror - ANSmakes offer
Offeree - ANSreceives offer
Express Offer - ANSoral or written
Implied Offer - ANSbased on conduct
Offer - ANSCommunication must create a reasonable expectation in the offeree that the
offeror intends to make a contact
3 Questions of an Offer - ANS1. Was there a manifestation of intent to contract?
2. Was there definiteness and certainty in the essential terms?
3. Was there communication of the above to the offeree?
Intent to Contract - ANSobvious joke is not an offer. would a reasonable person believe the
offer is serious?
Definite and Certain - ANSMust include:
1. identity of the offeree
2. price
