C5. The push toward assent

Question 1

What is a nominal consideration?

Answer 1

1) a consideration in name only
2) it doesn’t give any real consideration
3) need something that would plausibly induce the promise

Question 2

What is the minority view on option contract in general?

Answer 2

When the consideration hasn’t been performed, the contract fails for want of consideration

1) an option contract with no consideration is a revocable offer to sell
2) Restatement - an option in writing and signed by the offeror which resides consideration is binding; consideration was given or expected

Question 3

What is the majority view on option contract in general?

Answer 3

If an option has no actual or legal consideration to support it, it may be revoked by the option at any time prior to acceptance

Question 4

What is an implied inducement?

Answer 4

If the promise has a tendency to induce a performance, action, or other promise. It is enforceable

Question 5

What is the difference between bilateral and unilateral contract?

Answer 5

1) Bilateral - two promises exchanged in consideration for one another
2) Unilateral - one promise exchanged for performance

Question 6

What is the Statue of Frauds?

Answer 6

A promise or agreement described in subsection (b) of this section is not enforceable unless the promise or agreement, or a memorandum of it, is

1) In writing; and
2) Signed by the person to be charged with the promise or agreement or by someone lawfully authorized to sign for him.

Subsection (a) of this section applies to

1) a promise by an executor or administrator to answer out of his own estate for any debt or damage due from his testator or interstate;
2) a promise by one person to answer for the debt, default, or miscarriage of another person
3) an agreement made on consideration of marriage
4) a contract for the sale of real estate
5) a lease of real estate for a term longer than one year
6) an agreement which is not to be performed within one year from the date of making the agreement

Question 7

What are the rules regarding the Statue of Frauds?

Answer 7

1) the memorandum under the SOF should be so reasonably definite and certain within itself, or other writing referred to, as to parties, consideration and subject-matter, that specific performance can be enforced without a resort to parol evidence
2) the consideration of a contract for the sale of lands should be expressed in writing
3) the SOF to encompass only those contracts which by their terms, have absolutely no possibility in fact and law of full performance within one year
4) as long as the agreement may be “fairly and reasonably interpreted” such that it may be performed within a year, the SOF will not act as a bar however unexpected, unlikely, or even improbable that such performance will occur during that time frame
5) the SOF is not applicable to an agreement that performance of which depends on a contingency which may or may not happen within one year
6) payment of consideration, though it be a payment in full is not sufficient

7) promissory estoppel is not a counter action to all SOF contracts
a) SOF is based on contract enforceability; promissory estoppel is based on preventing injustice

Question 8

What are the three things necessary to relive an oral sale of land from the SOF?

Answer 8

1) payment of the consideration, whether it be in money or services
2) possession by the vendee, and
3) the making by the vendee of valuable and permanent improvements upon the land with the consent of the vendor