STUVIA 2024/2025
Contracts 2 Flashcards
"Must be made clearly ascertainable, in both their nature and origin, and it must be made to appear
that they are the natural and proximate consequence of the breach and not speculative and
contigent." - ✔✔For reasonable Damages
"Personal aesthetics or fancy" But still requires good faith. - ✔✔Satisfaction Subjective
"World's best cup of coffee" - ✔✔Puffery
+Loss of value
+Other losses
-Costs avoided
-Losses Avoided - ✔✔Calculating Expectation For monetary Value's questions
V.O.A.L.
1. Allow modifications even without consideration if modification is in wake of unforeseen
circumstances
2. Reliance exception (reliance on terms)
3. Mutual consent (Parties agree to change their contract even without consideration) -
%
✔✔Exceptions to common law rule for Modifications
1. Basic Assumption
2. Material Effect
3. Rescinder does not bear the risk
4. Enforcement unconscionable
5. Other party knew of or caused the mistake (gives other party some advantag - ✔✔Elements of
Unilateral Mistake
1. Basic assumption of the contract
2. Materially effect
3. Party rescinding does not bare the risk
4. Unconsionability in favoring one side - ✔✔Unilateral mistake elements
1. Basic assumption of the contract
2. Materially effect it
3. Whoever rescinding does not bear the risk - ✔✔Mutual mistake elements
1. Basic assumption on which the contract was formed (actually not true)
2. Must materially affect the contract (wouldn't have been entered into)
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, STUVIA 2024/2025
3. Rescinder does not bare the risk - ✔✔Elements of Mutual mistake
1. Correcting a mistake
2. Correcting known mistake
3. Correct writings content
4. Type of special relationship - ✔✔4 times to disclose
1. Difference in Value
2. Cost of completion - ✔✔General rules for loss in value for a construction contract
1. Difficulty In calculating Damages
2. Difficulty in finding a substitute performance
3. Diffulculty in collecting $$$ - ✔✔3 Requirements For Elements of Specific performance
1. Difficulty Supervision (court having to supervise the performance on a party) (construction contract
example for a length of time to be performed.)
2. Hardship on the breacher
3. Unclean Hands (Those seeking equity must do equity, can deny if one party is not acting equitable.
If not, they cannot get equible relief
4. Impact on Third Parties, Hardship on a innocent party - ✔✔Court's discretion on Specific
%
Performance
1. Discussion of the transaction at an unusual or inappropriate time
2. Insistent demand that business be finished at once.
3. Use of multiple persuaders
4. Statements of 'little time' to discuss, now - ✔✔Unfair Persuasion Examples
1. Duty to disclose
2. Not disclosing it - ✔✔Non-disclosure
1. Duty to disclose
2. Not disclosing it - ✔✔Non-disclosure
1. Exclusive agreement (between 2 parties)
2. Silent on efforts
=Therefore imply best efforts - ✔✔What to assume on silent efforts?
1. Expressed
2. Implied Warranty of merchantability
3. Implied warranty of fitness - ✔✔3 types of warranties
stuvia
Contracts 2 Flashcards
"Must be made clearly ascertainable, in both their nature and origin, and it must be made to appear
that they are the natural and proximate consequence of the breach and not speculative and
contigent." - ✔✔For reasonable Damages
"Personal aesthetics or fancy" But still requires good faith. - ✔✔Satisfaction Subjective
"World's best cup of coffee" - ✔✔Puffery
+Loss of value
+Other losses
-Costs avoided
-Losses Avoided - ✔✔Calculating Expectation For monetary Value's questions
V.O.A.L.
1. Allow modifications even without consideration if modification is in wake of unforeseen
circumstances
2. Reliance exception (reliance on terms)
3. Mutual consent (Parties agree to change their contract even without consideration) -
%
✔✔Exceptions to common law rule for Modifications
1. Basic Assumption
2. Material Effect
3. Rescinder does not bear the risk
4. Enforcement unconscionable
5. Other party knew of or caused the mistake (gives other party some advantag - ✔✔Elements of
Unilateral Mistake
1. Basic assumption of the contract
2. Materially effect
3. Party rescinding does not bare the risk
4. Unconsionability in favoring one side - ✔✔Unilateral mistake elements
1. Basic assumption of the contract
2. Materially effect it
3. Whoever rescinding does not bear the risk - ✔✔Mutual mistake elements
1. Basic assumption on which the contract was formed (actually not true)
2. Must materially affect the contract (wouldn't have been entered into)
stuvia
, STUVIA 2024/2025
3. Rescinder does not bare the risk - ✔✔Elements of Mutual mistake
1. Correcting a mistake
2. Correcting known mistake
3. Correct writings content
4. Type of special relationship - ✔✔4 times to disclose
1. Difference in Value
2. Cost of completion - ✔✔General rules for loss in value for a construction contract
1. Difficulty In calculating Damages
2. Difficulty in finding a substitute performance
3. Diffulculty in collecting $$$ - ✔✔3 Requirements For Elements of Specific performance
1. Difficulty Supervision (court having to supervise the performance on a party) (construction contract
example for a length of time to be performed.)
2. Hardship on the breacher
3. Unclean Hands (Those seeking equity must do equity, can deny if one party is not acting equitable.
If not, they cannot get equible relief
4. Impact on Third Parties, Hardship on a innocent party - ✔✔Court's discretion on Specific
%
Performance
1. Discussion of the transaction at an unusual or inappropriate time
2. Insistent demand that business be finished at once.
3. Use of multiple persuaders
4. Statements of 'little time' to discuss, now - ✔✔Unfair Persuasion Examples
1. Duty to disclose
2. Not disclosing it - ✔✔Non-disclosure
1. Duty to disclose
2. Not disclosing it - ✔✔Non-disclosure
1. Exclusive agreement (between 2 parties)
2. Silent on efforts
=Therefore imply best efforts - ✔✔What to assume on silent efforts?
1. Expressed
2. Implied Warranty of merchantability
3. Implied warranty of fitness - ✔✔3 types of warranties
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