BLS 342 Final Exam reviewED
QUESTIONS AND ANSWERS [CORRECT
VERIFIED ANSWERS]
4 elements of a contract - CORRECT ANSWER-agreement, consideration, capacity,
legality
2 elements of agreement - CORRECT ANSWER-offer and acceptance
three elements of an offer - CORRECT ANSWER-1. intent to be bound
2. definitive and certain terms
3. Communication to the offeree
How can an offer be terminated? - CORRECT ANSWER-Revocation, Rejection, Lapse
of Time, Operation of Law, counter-offer, destruction of subject matter
terms of acceptance - CORRECT ANSWER-intent to be bound, communication to the
offeror, terms must be mirrored
Mirror Image Rule - CORRECT ANSWER-requires that the terms in the acceptance
must exactly match the terms contained in the offer
Mailbox Rule - CORRECT ANSWER-acceptance of an offer becomes effective when
placed in mailbox
revocation of acceptance becomes effective when received
2 exceptions to requirement of consideration - CORRECT ANSWER-promissory
estoppel
contract under seal
Promissory Estoppel - CORRECT ANSWER-the legal enforcement of an otherwise
unenforceable contract due to a party's detrimental reliance on the contract
a. Do courts consider the adequacy of consideration? - CORRECT ANSWER-no
, Preexisting Duty - CORRECT ANSWER-Can't be bound to a contract to do something
they already have to do (police duty to serve)
Contractual Capacity - CORRECT ANSWER-the legal ability to enter into a contractual
relationship
must understand and be able to fulfill the requirements of the contract
capacity issues for void contract - CORRECT ANSWER-when the Court must get
involved, i.e. adjudicated to be insane or intoxicated or have a legal guardian
capacity issues for voidable contract - CORRECT ANSWER-Under the age of majority,
mentally incapacitated, drunk
examples of an illegal object - CORRECT ANSWER-1. Against public policy
2. Violation of a statute
3. Usury laws (interst on a loan), gambling laws
five causes of a lack of genuine assent - CORRECT ANSWER-Undue influence
duress
unilateral mistake
bilateral mistake
misrepresentation
1. What are the five types of contracts that must be in writing under the Statute of
Frauds? - CORRECT ANSWER-a. Sale of land
b. Prenup
c. Goods over $500
d. Contracts to take someone's debt
e. Contracts that prevent performance within a year
What must the writing include under the Statute of Frauds - CORRECT ANSWER-a.
Name of parties
b. Subject matter of agreement
c. consideration
d. contractual/relevant terms
e. signature of defendant
What are the exceptions to the writing requirement of the Statute of Frauds? -
CORRECT ANSWER-a. Partial performance
b. Promissory estoppel
c. Quasi contract = not a legal contract but the court treats it as one -- ex painting
townhouses
d. UCC - oral contracts between merchants
QUESTIONS AND ANSWERS [CORRECT
VERIFIED ANSWERS]
4 elements of a contract - CORRECT ANSWER-agreement, consideration, capacity,
legality
2 elements of agreement - CORRECT ANSWER-offer and acceptance
three elements of an offer - CORRECT ANSWER-1. intent to be bound
2. definitive and certain terms
3. Communication to the offeree
How can an offer be terminated? - CORRECT ANSWER-Revocation, Rejection, Lapse
of Time, Operation of Law, counter-offer, destruction of subject matter
terms of acceptance - CORRECT ANSWER-intent to be bound, communication to the
offeror, terms must be mirrored
Mirror Image Rule - CORRECT ANSWER-requires that the terms in the acceptance
must exactly match the terms contained in the offer
Mailbox Rule - CORRECT ANSWER-acceptance of an offer becomes effective when
placed in mailbox
revocation of acceptance becomes effective when received
2 exceptions to requirement of consideration - CORRECT ANSWER-promissory
estoppel
contract under seal
Promissory Estoppel - CORRECT ANSWER-the legal enforcement of an otherwise
unenforceable contract due to a party's detrimental reliance on the contract
a. Do courts consider the adequacy of consideration? - CORRECT ANSWER-no
, Preexisting Duty - CORRECT ANSWER-Can't be bound to a contract to do something
they already have to do (police duty to serve)
Contractual Capacity - CORRECT ANSWER-the legal ability to enter into a contractual
relationship
must understand and be able to fulfill the requirements of the contract
capacity issues for void contract - CORRECT ANSWER-when the Court must get
involved, i.e. adjudicated to be insane or intoxicated or have a legal guardian
capacity issues for voidable contract - CORRECT ANSWER-Under the age of majority,
mentally incapacitated, drunk
examples of an illegal object - CORRECT ANSWER-1. Against public policy
2. Violation of a statute
3. Usury laws (interst on a loan), gambling laws
five causes of a lack of genuine assent - CORRECT ANSWER-Undue influence
duress
unilateral mistake
bilateral mistake
misrepresentation
1. What are the five types of contracts that must be in writing under the Statute of
Frauds? - CORRECT ANSWER-a. Sale of land
b. Prenup
c. Goods over $500
d. Contracts to take someone's debt
e. Contracts that prevent performance within a year
What must the writing include under the Statute of Frauds - CORRECT ANSWER-a.
Name of parties
b. Subject matter of agreement
c. consideration
d. contractual/relevant terms
e. signature of defendant
What are the exceptions to the writing requirement of the Statute of Frauds? -
CORRECT ANSWER-a. Partial performance
b. Promissory estoppel
c. Quasi contract = not a legal contract but the court treats it as one -- ex painting
townhouses
d. UCC - oral contracts between merchants
