BMGT380 Midterm 2 Exam Questions With Verified Answers

BMGT380 Midterm 2 Exam Questions With Verified Answers Elements of a Contract - answerOffer Acceptance Consideration Capacity Legality Bodies of Contract Law - answerCommon law Uniform Commercial Code (UCC) Contract - answerA legally enforceable promise or set of promises Non-Contract Obligations - answerQuasi Contract (Unjust Enrichment) Promissory Estoppel Requirements for Unjust Enrichment - answerOne party confers a benefit on another The other party knowingly accepts it and retains it The circumstances are that which would make it unjust to do so without paying for it Requirements for Promissory Estoppel - answerThere is a promise that the promisor should foresee is likely to induce reliance Actual reliance on the promise by the promisee ©BRIGHTSTARS EXAM SOLUTIONS 11/14/2024 12:19 PM 2 | P a g e Injustice occurs as a result of the reliance Unilateral Contract - answerOne party makes a promise based on the performance of another Performance is acceptance Bilateral Contract - answerBoth parties exchange promises Contract is formed as soon as the promises are exchanged Implied Contract - answerContract is not expressly stated, but given the circumstances it exists i.e. When you go to the doctor, there is an implied contract that they will treat you and you will pay the bill Express Contract - answerParties directly state the terms of their contract at the time the contract is formed Executory Contract - answerContract is not completed At least one party has yet to perform their duties Voidable Contract - answerone or more of the parties have the legal right to cancel their obligations under the contract i.e. the contract was induced by fraud or deception Offer Requirements - answerPresent intent Specificity of terms Communication of offer to offeree Present Intent - answerThe intent to enter the contract upon acceptance. It signifies that the offeror is not joking, haggling, or equivocating Specificity of Terms - answerThe terms of the contract are clearly laid out to both parties ©BRIGHTSTARS EXAM SOLUTIONS 11/14/2024 12:19 PM 3 | P a g e Common law used to be very strict but has become more lenient UCC is less strict, terms of an offer can be left open and it will still be enforced Communication of Offer to Offeree - answerAn offeror objectively indicates an intent to be bound by certain terms Auctions - answerSellers at auctions are generally treated as making an invitation to offer. Those who bid on offered goods are, therefore, treated as making offers that the owner of the goods may accept or reject Bids - answerAdvertisements for bids are generally treated as invitations to offer. Those who submit bids are treated as offerors. Offerors can withdraw bids (offer) at anytime and offerees can accept or reject any bid. Termination of Offers - answerTerms of the Offer Lapse of Time Revocation Rejection Death or Insanity of Either Party Intervening Illegality Terms of the Offer - answerOfferors have the power to determine the terms and conditions under which they are bound to a contract. An offeror may include terms in the offer that limit its effective life. Lapse of Time - answerOffers that fail to provide a specific time for acceptance are valid for a reasonable time. What constitutes a reasonable time depends on the circumstances surrounding the offer. Revocation - answerThe general rule of contracts is that they may be revoked at any time before they are accepted. Exceptions to the General Rule of Revocation - answerOptions