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Contracts Midterm Multiple Choice – Levit Exam with Complete Solutions

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Contracts Midterm Multiple Choice – Levit Exam with Complete Solutions In response to an advertisement that he saw in the newspaper, the homeowner telephoned the contractor and asked him to come to the homeowner's home to estimate the cost of providing and installing new aluminum screens for all the homeowner's windows. After taking measurements, the contractor returned to his shop and prepared a written estimate, in which he said that he would do the entire job for $350. When the homeowner received the contractor's written estimate, he wrote across it with a red felt-tipped pen, "I'll pay $300, but not a penny more," and mailed it to the contractor. When the contractor received the estimate with the homeowner's statement written on it, he wrote on the estimate, "I'll do it for $325." He sent the estimate back to the homeowner on September 5, but on September 12, having received no response, he sent the homeowner a note that said, "All right, you win. I'll do the job for $300. Unless I - (D) No contractual relationship existed between the homeowner and the contractor

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Contracts Midterm Multiple Choice –

Levit Exam with Complete Solutions


In response to an advertisement that he saw in the newspaper, the

homeowner telephoned the contractor and asked him to come to the

homeowner's home to estimate the cost of providing and installing new

aluminum screens for all the homeowner's windows. After taking

measurements, the contractor returned to his shop and prepared a written

estimate, in which he said that he would do the entire job for $350. When

the homeowner received the contractor's written estimate, he wrote across

it with a red felt-tipped pen, "I'll pay $300, but not a penny more," and

mailed it to the contractor. When the contractor received the estimate with

the homeowner's statement written on it, he wrote on the estimate, "I'll do it

for $325." He sent the estimate back to the homeowner on September 5,

but on September 12, having received no response, he sent the

homeowner a note that said, "All right, you win. I'll do the job for $300.

Unless I - ✔✔(D) No contractual relationship existed between the

homeowner and the contractor.

,Antonio owns several expensive paintings. On August 1, a burglar breaks

into his home and steals his most prized painting. On August 2, Antonio

publicly offers a reward of $10,000 to the person who provides information

that leads to the return of the painting. On August 3, Bruno, a detective,

calls Antonio and says, "I accept your offer. I promise to put all of my efforts

into getting your painting returned." Bruno spent a substantial amount of

time trying to locate the painting, but was unsuccessful. On August 20,

Christina, an art dealer, contacted Antonio and provided information about

someone who tried to sell the painting to her. The police were able to use

the information that Christina provided to capture the criminal and return

the painting to Antonio on August 20.



Which of the following statements is correct?

(A) A bilateral contract formed between Antonio and Bruno

(B) A unilateral contract formed betwee - ✔✔(B) A unilateral contract

formed between Antonio and Christina

Book Club sends three recently published novels to Camila. All three

novels are on the list of "best sellers." The letter accompanying the

packages states that Alison may purchase the books for only $20, which is

30% below the retail price. The letter also states, "If you do not want the

,books, then please return the books within five days and you will not owe

us anything. If we do not receive the books within five days, then we will

consider the books to have been purchased and we will bill you for $20."

Book Club did not include return postage. Camila does not respond to Book

Club within five days. Instead, Camila puts the three novels on her

bookshelf unread, so that she can return the books if Book Club sends

return postage.



Has a contract formed between Book Club and Camila?



(A) Yes, because it was reasonable for Book Club to expect that Camila

would understand that silence is acceptance

(B) Yes, because Cam - ✔✔(D) No, unless Book Club can show that there

are prior dealings with Camila that justify Book Club in thinking that her

silence would be acceptance.

Cleaner ran a cleaning service and ran advertisements in the local media

stating, "I will clean any space that is 2,000 square feet or less for $250 no

matter how dirty it is. Call now to accept this offer." The advertisement

provided contact information for Cleaner. Owner owns an office building,

and each floor measured exactly 2,000 square feet. Owner called Cleaner's

, phone number but got voicemail. Owner left the following message, "I

accept your offer. If you can start cleaning tonight by 9:00pm and finish by

tomorrow morning at 7:00am, I will pay you $300 per floor to clean each of

the floors in my building." Owner provided the necessary details such as

the building address and combination needed to unlock the doors. Owner

then ended the voicemail saying, "You need not call back. Just show up

and start working. I will pay." Cleaner received the voicemail and went to

Owner's building that evening before 9:00pm, u - ✔✔(B) Cleaner, because

Owner's offer provides for acceptance by performance.

Distributor is a food wholesaler whose customers are dining

establishments. Restaurant sends a signed email to Distributor requesting

a price quote for wild caught Alaskan salmon. Distributor is limiting the

amount it sells to any individual customer, due to a recent shortage of

salmon, and it replies to Restaurant that Distributor would sell up to 500

pounds of wild caught Alaskan salmon to Restaurant at the price of $10 a

pound. The email listed various payment and delivery terms. Distributor's

email ends with the statement: "This offer will be held open for 45 days

after which it expires." Distributor signed the email. Twenty days later

Restaurant emailed Distributor a signed purchase order for 1,000 pounds

of wild caught Alaskan salmon at $10 a pound. The purchase order

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