Ch 11 Nature And Terminology Flashcards
What does UCC govern?
They govern contracts for sale and lease of goods
What is the function of contract law? (2)
Ensure compliance and intice performance
The Objective theory of contracts
Party’s intention to enter into a legally binding contract judged by outward objective facts
Requirements of a valid contract (4)
Agreement
Consideration
Contractual Capacity
Legality
Defenses to the enforceability of a contract
Voluntary consent, no fraud or duress
Form
How are contracts categorized?
Formation, performance, and enforceability
Bilateral v Unilateral contracts
- Promising to perform
2. Promise for an act, contract formed when contract is performed
Unilateral contract examples
Contests, lotteries, competitions
Revocation of offers - ok?
Offers normally revocable until accepted
When perf has been substantially undertaken, X
Formal v informal contracts
- Req special form or method of creation to be enforceable
Negotiable instruments
Formal contract because under UCC, special form and lang are required to create them
Letters of credit
Agreements to pay contingent on the purchasers receipt of invoices and bills of lading
Express v implied contracts
- Terms of agreement are fully and explicitly stated in words, oral or written
- Contract implied fr conduct of parties, which creates and def terms of contract
Rq for implied contracts (3)
Plaintiff furnished some service or property
P* expected to be paid, D* should have known payment expected
D* had chance to reject
Executed v Executory contract
- Fully perf on both sides\2. Not been fully perf