BUL 4421 EXAM 2 QUESTIONS AND
CORRECT ANSWERS
Unilateral Contract ✅✅CORRECT ANSW-promise in exchange for an act
Executed ✅✅CORRECT ANSW-both ends of the contract complied with terms
Executory ✅✅CORRECT ANSW-a contract that has not been fully performed on either side
Void Contract ✅✅CORRECT ANSW-A contract having no legal force or binding effect.
Voidable Contract ✅✅CORRECT ANSW-A contract that may be legally avoided at the option of
one or both of the parties.
Valid Contract ✅✅CORRECT ANSW-A contract that results when elements necessary for contract
formation (agreement, consideration, legal purpose, and contractual capacity) are present.
Unenforceable Contract ✅✅CORRECT ANSW-A valid contract rendered unenforceable by some
statute or law.
Formal Contract ✅✅CORRECT ANSW-An agreement that by law requires a specific form for its
validity.
Elements of a Contract ✅✅CORRECT ANSW-offer, acceptance, consideration
offerer ✅✅CORRECT ANSW-A person who makes an offer.
offeree ✅✅CORRECT ANSW-A person to whom an offer is made.
Consideration ✅✅CORRECT ANSW-The bargained-for exchange; what each party gets in exchange
for his or her promise under a contract.
, Bilateral Contract ✅✅CORRECT ANSW-promise for a promise
informal (simple) contract ✅✅CORRECT ANSW-A contract that does not require a specified form
or formality in order to be valid.
Elements of an offer ✅✅CORRECT ANSW-1. serious intent by the offeror to be bound to an
agreement
2. reasonably definite terms
3. communication to the offeree
intent ✅✅CORRECT ANSW-the intended purpose or goal of an action, especially in a contract
material terms ✅✅CORRECT ANSW-In a contract, the terms that allow a court to determine what
the damages are in the event that one of the parties breaches the contract; include the subject
matter, quantity, price, quality, and parties.
definite and certain ✅✅CORRECT ANSW-The requirement, under common law, that a contract
must include and clearly define all material terms.
Communication ✅✅CORRECT ANSW-in a contract, an offer made to the offeree or their agent.
Ways an offer can be terminated ✅✅CORRECT ANSW-1. revocation
2. rejection
3. counteroffer
4. lapse of time
5. death/incapacity
6. illegality
Revocation ✅✅CORRECT ANSW-an act of calling back, an annulment, cancellation
rejection ✅✅CORRECT ANSW-Refusal by the offeree
CORRECT ANSWERS
Unilateral Contract ✅✅CORRECT ANSW-promise in exchange for an act
Executed ✅✅CORRECT ANSW-both ends of the contract complied with terms
Executory ✅✅CORRECT ANSW-a contract that has not been fully performed on either side
Void Contract ✅✅CORRECT ANSW-A contract having no legal force or binding effect.
Voidable Contract ✅✅CORRECT ANSW-A contract that may be legally avoided at the option of
one or both of the parties.
Valid Contract ✅✅CORRECT ANSW-A contract that results when elements necessary for contract
formation (agreement, consideration, legal purpose, and contractual capacity) are present.
Unenforceable Contract ✅✅CORRECT ANSW-A valid contract rendered unenforceable by some
statute or law.
Formal Contract ✅✅CORRECT ANSW-An agreement that by law requires a specific form for its
validity.
Elements of a Contract ✅✅CORRECT ANSW-offer, acceptance, consideration
offerer ✅✅CORRECT ANSW-A person who makes an offer.
offeree ✅✅CORRECT ANSW-A person to whom an offer is made.
Consideration ✅✅CORRECT ANSW-The bargained-for exchange; what each party gets in exchange
for his or her promise under a contract.
, Bilateral Contract ✅✅CORRECT ANSW-promise for a promise
informal (simple) contract ✅✅CORRECT ANSW-A contract that does not require a specified form
or formality in order to be valid.
Elements of an offer ✅✅CORRECT ANSW-1. serious intent by the offeror to be bound to an
agreement
2. reasonably definite terms
3. communication to the offeree
intent ✅✅CORRECT ANSW-the intended purpose or goal of an action, especially in a contract
material terms ✅✅CORRECT ANSW-In a contract, the terms that allow a court to determine what
the damages are in the event that one of the parties breaches the contract; include the subject
matter, quantity, price, quality, and parties.
definite and certain ✅✅CORRECT ANSW-The requirement, under common law, that a contract
must include and clearly define all material terms.
Communication ✅✅CORRECT ANSW-in a contract, an offer made to the offeree or their agent.
Ways an offer can be terminated ✅✅CORRECT ANSW-1. revocation
2. rejection
3. counteroffer
4. lapse of time
5. death/incapacity
6. illegality
Revocation ✅✅CORRECT ANSW-an act of calling back, an annulment, cancellation
rejection ✅✅CORRECT ANSW-Refusal by the offeree
