BUSINESS LAW EXAM #2 STUDY GUIDE QUESTIONS AND ANSWERS 2025
Contract - (ANSWER)Agreement that is enforceable by a court of law or equity
Unilateral Contract - (ANSWER)A contract in which the offeror's offer can be accepted only by the
performance of an act by the offeree. (A promise for an act)
Express Contract - (ANSWER)An agreement that is expressed in written or oral words
Quasi-Contract - (ANSWER)An equitable doctrine whereby a court may award monetary damages to a
plaintiff for providing work or services to a defendant even though no contract existed. Created to
prevent unjust enrichment. AKA Implied-in-law Contract
Auction - (ANSWER)A sale in which a seller of goods offers goods for sale through an auctioneer
Mirror Image Rule - (ANSWER)A rule that states that when acceptance to exist the offeree must accept
the terms as stated in the offer
Preexisting duties - (ANSWER)Something a person is already an obligation to do. A promise lacks
consideration if a person promises to perform this
Consent - (ANSWER)a plea entered by a civil defendant who has been sued by the government whereby
the accused agrees to the imposition of a penalty but does not admit liability
Permission to do something
Undue Influence - (ANSWER)A situation in which one person takes advantage of anther's mental,
emotional, or physical weakness and unduly persuades that person to enter into a contract or make a
will
Parol Evidence - (ANSWER)Any oral or written words outside the four corners of a written contract
, BUSINESS LAW EXAM #2 STUDY GUIDE QUESTIONS AND ANSWERS 2025
Statute of Frauds - (ANSWER)A state stature that requires certain types of contracts to be in writing
Conditions - (ANSWER)A qualification of a promise that becomes a covenant if it is met. Three types:
precedent, subsequent, and concurrent
Legal Damages - (ANSWER)These are monetary awards that the law imposes for a breach of some duty
or violation of some right
Discharge - (ANSWER)Comes from liability on negotiable instruments
Specific Performance - (ANSWER)A remedy that orders the breaching party to perform the acts
promised in the contract. Usually awarded in cases in which the subject-matter is unique, such as
contracts involving land, heirlooms, and paintings
Statute of Limitations - (ANSWER)A federal or state statute setting the maximum time period during
which a certain action can be brought or certain rights enforced
Licensing Statute - (ANSWER)Statute that requires a person or business to obtain a license from the
government prior to engaging in a specified occupation or activity
Incidental Beneficiary - (ANSWER)A third party that has unintentionally benefited from another's
contract
Restraining Injunction - (ANSWER)requires a person to do or cease doing a specific action
Digital Signature - (ANSWER)A contract digitally signed by a company or person
Electronics Communications Privacy Act - (ANSWER)A federal statute that makes it a crime without the
victims consent to interpret an electronic communication at the point of transmission, while in transit,
when stored by a router or server or after receipt by the intended recipient
Contract - (ANSWER)Agreement that is enforceable by a court of law or equity
Unilateral Contract - (ANSWER)A contract in which the offeror's offer can be accepted only by the
performance of an act by the offeree. (A promise for an act)
Express Contract - (ANSWER)An agreement that is expressed in written or oral words
Quasi-Contract - (ANSWER)An equitable doctrine whereby a court may award monetary damages to a
plaintiff for providing work or services to a defendant even though no contract existed. Created to
prevent unjust enrichment. AKA Implied-in-law Contract
Auction - (ANSWER)A sale in which a seller of goods offers goods for sale through an auctioneer
Mirror Image Rule - (ANSWER)A rule that states that when acceptance to exist the offeree must accept
the terms as stated in the offer
Preexisting duties - (ANSWER)Something a person is already an obligation to do. A promise lacks
consideration if a person promises to perform this
Consent - (ANSWER)a plea entered by a civil defendant who has been sued by the government whereby
the accused agrees to the imposition of a penalty but does not admit liability
Permission to do something
Undue Influence - (ANSWER)A situation in which one person takes advantage of anther's mental,
emotional, or physical weakness and unduly persuades that person to enter into a contract or make a
will
Parol Evidence - (ANSWER)Any oral or written words outside the four corners of a written contract
, BUSINESS LAW EXAM #2 STUDY GUIDE QUESTIONS AND ANSWERS 2025
Statute of Frauds - (ANSWER)A state stature that requires certain types of contracts to be in writing
Conditions - (ANSWER)A qualification of a promise that becomes a covenant if it is met. Three types:
precedent, subsequent, and concurrent
Legal Damages - (ANSWER)These are monetary awards that the law imposes for a breach of some duty
or violation of some right
Discharge - (ANSWER)Comes from liability on negotiable instruments
Specific Performance - (ANSWER)A remedy that orders the breaching party to perform the acts
promised in the contract. Usually awarded in cases in which the subject-matter is unique, such as
contracts involving land, heirlooms, and paintings
Statute of Limitations - (ANSWER)A federal or state statute setting the maximum time period during
which a certain action can be brought or certain rights enforced
Licensing Statute - (ANSWER)Statute that requires a person or business to obtain a license from the
government prior to engaging in a specified occupation or activity
Incidental Beneficiary - (ANSWER)A third party that has unintentionally benefited from another's
contract
Restraining Injunction - (ANSWER)requires a person to do or cease doing a specific action
Digital Signature - (ANSWER)A contract digitally signed by a company or person
Electronics Communications Privacy Act - (ANSWER)A federal statute that makes it a crime without the
victims consent to interpret an electronic communication at the point of transmission, while in transit,
when stored by a router or server or after receipt by the intended recipient
