BUL 4421 FINAL - FAU GENDLER
QUESTIONS AND CORRECT
ANSWERS
Objective Theory of Contracts bases interpretation on ✅✅CORRECT ANSW-how a reasonable
person would interpret it.
________ of parties is not usually relevant under objective theory of contracts ✅✅CORRECT
ANSW-subjective intent
t or f: subjective intent may be relevant under certain circumstances ✅✅CORRECT ANSW-true
subjective intent may be relevant if ✅✅CORRECT ANSW-a mutual misunderstanding b/t parties
exists and they did not come to a true meetings of minds; no contract exists
if there appears a a mutual misunderstanding ✅✅CORRECT ANSW-look at each party separately,
interpret situation to determine whether parties really reached an agreement
in order to determine whether partied intended to enter into a contract, courts look at
✅✅CORRECT ANSW-their objective words and behavior and do not try to figure out what they
may have secretly intending
classification of contract determines ✅✅CORRECT ANSW-when offeree is legally bound to
perform
Four Elements of a Contract: CLAC ✅✅CORRECT ANSW-1. Contractual Capacity
2. Legal Object
3. Agreement (offer, acceptance)
4. Consideration
Contract ✅✅CORRECT ANSW--A promise or set of legally enforceable promises for the breach of
which the law gives a remedy or the performance of which the law in some way recognizes a duty.
,Agreement ✅✅CORRECT ANSW-(Offer & Acceptance)
Offer by Oferror to enter into a contract and acceptance of terms by offeree.
Consideration ✅✅CORRECT ANSW-i. The bargained-for exchange or what each party gets in
exchange for his or her promise under the contract
(The something for something)
Contractual capacity ✅✅CORRECT ANSW-i. The legal ability to enter into a binding agreement
Legal Object ✅✅CORRECT ANSW-subject matter of the contract. Cannot be illegal or against
public policy in order to be enforceable
Objective Theory of Contracts is the ✅✅CORRECT ANSW-basis of contract law
Objective Theory of Contracts bases existence on ✅✅CORRECT ANSW-Outward manifestations of
intent
Bilateral Contract = ✅✅CORRECT ANSW-A promise + a promise.
-I'll pay you $1000 for you to paint my car.
-(My promise = $1000)
-(Your promise = Paint my car)
-Mutual exchange
Under bilateral contract, contract formed ✅✅CORRECT ANSW-as soon as promise exchanged
Unilateral Contract ✅✅CORRECT ANSW--a promise + a requested action
-Offerror wants something *done, not a promise* for something to be done.
-ex; find dog and ill pay reward
, under unilateral contract, contract formed ✅✅CORRECT ANSW-once offerree begins
performance; offeror must give reasonable amt of time to finish before voiding contract
Express Contract ✅✅CORRECT ANSW-The terms of the contract are all clearly set forth in either
written or spoken words.
ex; written agreement by dentist to perform work
Implied Contract ✅✅CORRECT ANSW-Terms arise from conduct of the parties.
ex; dentist pulling tooth implies you will pay
3 conditions required for implied contracts (and recovery) ✅✅CORRECT ANSW-1- benefits
conferred by plaintiff upon defendant
2- defendant has knowledge of benefit being bestowed on them, and
3- defendant retains benefit under circs which it would be unjust to do so without payment
Void Contract ✅✅CORRECT ANSW--Not a contract at all; unenforceable
-Either illegal or has some serious defect.
Voidable Contract ✅✅CORRECT ANSW--One or both of the parties has the ability to either
withdraw from the contract or enforce it.
if choosing to terminate a voidable contract, both parties must ✅✅CORRECT ANSW-return
anything already exchanged under the agreement; restore to conditions before contract
contracts can be voided if ✅✅CORRECT ANSW--entered into by a minor, fraud, or under duress
-court attempting to protect person believed to have been taken advantage of
Lack of Genuine Assent (Defense) ✅✅CORRECT ANSW--All contract elements are there but one
party was forced into contract through duress, fraud, misrepresentation.
-Acts as defense
Contract Lacks Proper Form (Defense) ✅✅CORRECT ANSW-Writing must meet a certain criteria
must exist for a contract to be legally binding.
QUESTIONS AND CORRECT
ANSWERS
Objective Theory of Contracts bases interpretation on ✅✅CORRECT ANSW-how a reasonable
person would interpret it.
________ of parties is not usually relevant under objective theory of contracts ✅✅CORRECT
ANSW-subjective intent
t or f: subjective intent may be relevant under certain circumstances ✅✅CORRECT ANSW-true
subjective intent may be relevant if ✅✅CORRECT ANSW-a mutual misunderstanding b/t parties
exists and they did not come to a true meetings of minds; no contract exists
if there appears a a mutual misunderstanding ✅✅CORRECT ANSW-look at each party separately,
interpret situation to determine whether parties really reached an agreement
in order to determine whether partied intended to enter into a contract, courts look at
✅✅CORRECT ANSW-their objective words and behavior and do not try to figure out what they
may have secretly intending
classification of contract determines ✅✅CORRECT ANSW-when offeree is legally bound to
perform
Four Elements of a Contract: CLAC ✅✅CORRECT ANSW-1. Contractual Capacity
2. Legal Object
3. Agreement (offer, acceptance)
4. Consideration
Contract ✅✅CORRECT ANSW--A promise or set of legally enforceable promises for the breach of
which the law gives a remedy or the performance of which the law in some way recognizes a duty.
,Agreement ✅✅CORRECT ANSW-(Offer & Acceptance)
Offer by Oferror to enter into a contract and acceptance of terms by offeree.
Consideration ✅✅CORRECT ANSW-i. The bargained-for exchange or what each party gets in
exchange for his or her promise under the contract
(The something for something)
Contractual capacity ✅✅CORRECT ANSW-i. The legal ability to enter into a binding agreement
Legal Object ✅✅CORRECT ANSW-subject matter of the contract. Cannot be illegal or against
public policy in order to be enforceable
Objective Theory of Contracts is the ✅✅CORRECT ANSW-basis of contract law
Objective Theory of Contracts bases existence on ✅✅CORRECT ANSW-Outward manifestations of
intent
Bilateral Contract = ✅✅CORRECT ANSW-A promise + a promise.
-I'll pay you $1000 for you to paint my car.
-(My promise = $1000)
-(Your promise = Paint my car)
-Mutual exchange
Under bilateral contract, contract formed ✅✅CORRECT ANSW-as soon as promise exchanged
Unilateral Contract ✅✅CORRECT ANSW--a promise + a requested action
-Offerror wants something *done, not a promise* for something to be done.
-ex; find dog and ill pay reward
, under unilateral contract, contract formed ✅✅CORRECT ANSW-once offerree begins
performance; offeror must give reasonable amt of time to finish before voiding contract
Express Contract ✅✅CORRECT ANSW-The terms of the contract are all clearly set forth in either
written or spoken words.
ex; written agreement by dentist to perform work
Implied Contract ✅✅CORRECT ANSW-Terms arise from conduct of the parties.
ex; dentist pulling tooth implies you will pay
3 conditions required for implied contracts (and recovery) ✅✅CORRECT ANSW-1- benefits
conferred by plaintiff upon defendant
2- defendant has knowledge of benefit being bestowed on them, and
3- defendant retains benefit under circs which it would be unjust to do so without payment
Void Contract ✅✅CORRECT ANSW--Not a contract at all; unenforceable
-Either illegal or has some serious defect.
Voidable Contract ✅✅CORRECT ANSW--One or both of the parties has the ability to either
withdraw from the contract or enforce it.
if choosing to terminate a voidable contract, both parties must ✅✅CORRECT ANSW-return
anything already exchanged under the agreement; restore to conditions before contract
contracts can be voided if ✅✅CORRECT ANSW--entered into by a minor, fraud, or under duress
-court attempting to protect person believed to have been taken advantage of
Lack of Genuine Assent (Defense) ✅✅CORRECT ANSW--All contract elements are there but one
party was forced into contract through duress, fraud, misrepresentation.
-Acts as defense
Contract Lacks Proper Form (Defense) ✅✅CORRECT ANSW-Writing must meet a certain criteria
must exist for a contract to be legally binding.
