Chapter 1. Meaning Of Terms (1-8) Flashcards
A orally agrees to sell land to B. B orally agrees to buy the land and pays $1000 to A. Is the agreement enforceable?
The agreement is unenforceable under the Statute of Frauds. B’s right to restitution of the $1000, however, is governed by the same rules as if the agreement were enforceable. B has a right to recover the $1000 paid if A refuses to convey the land, but not if A is ready and willing to convey. See § 140 and the provisions on restitution in § 375. By virtue of this indirect recognition of the duty to convey, the agreement is a contract. Restatement 2d of Contracts § 1(e)
A, the builder of a house, or the inventor of the material used in part of its construction, says to B, the owner of the house, “I warrant that this house will never burn down.” Has A made any promises by the statement?
This includes a promise to pay for harm if the house should burn down. (see UCC § 2-715). Restatement 2d of Contracts § 2(d)
A, by a charter-party, undertakes that the “good ship Dove,” having sailed from Marseilles a week ago for New York, shall take on a cargo for B on her arrival in New York. Has A made any promises by the statement?
The statement of the quality of the ship and the statement of her time of sailing from Marseilles include promises to pay for harm if the statement is untrue. Restatement 2d of Contracts § 2(d)
A says to B, “I will employ you for a year at a salary of $5,000 if I go into business.” Has A made any promises by the statement?
This is a promise, even though it is wholly optional with A to go into business or not. Restatement 2d of Contracts § 2(e)
A, on seeing a house of thoroughly fireproof construction, says to B, the owner, “This house will never burn down.” Has A made any promises by the statement?
This is not a promise but merely an opinion or prediction. If A had been paid for his opinion as an expert, there might be an implied promise that he would employ reasonable care and skill in forming and giving his opinion. Compare UCC § 2-313(2) (seller’s opinion) with UCC § 2-315 (implied warranty). Restatement 2d of Contracts § 2(f)
A telephones to his grocer, “Send me a ten-pound bag of flour.” The grocer sends it. Has A made any promises by the statement?
A has thereby promised to pay the grocer’s current price therefor. See UCC § 1-201(3), defining “agreement.”)Restatement 2d of Contracts § 4(a)
A, on passing a market, where he has an account, sees a box of apples marked “25 cts. each.” A picks up an apple, holds it up so that a clerk of the establishment sees the act. The clerk nods, and A passes on. Has A made any promises by the statement?
A has promised to pay twenty-five cents for the apple. See UCC § 1-201(3), defining “agreement.”) Restatement 2d of Contracts § 4(a)
A’s wife, B, separates from A for justifiable cause, and, in order to secure necessary clothing and supplies, buys them from C and charges their cost to A. Is there a contract?
A is bound to pay for them, though he has directed C not to furnish his wife with such supplies. But, A’s duty is quasi-contractual, not contractual. See Restatement of Restitution § 113. Restatement 2d of Contracts § 4(b)
