Chapter 11 real estate contract

Question 1

agreement between two parties to perform some legal act

Answer 1

Contract

Question 2

violation of a contract

Answer 2

Breach of contract

Question 3

buyer’s deposit with purchase contract

Answer 3

Earnest money

Question 4

certain happening in which a contract depends

Answer 4

contingency

Question 5

contract not put into words but shown by actions

Answer 5

implied contract

Question 6

contract set down in so many words

Answer 6

express contract

Question 7

contract that has been fulfilled ( all parties have sign)

Answer 7

Executed Contract

Question 8

contract that has not yet been performed (something to be done)

Answer 8

Executory Contract

Question 9

contract with a promise by each party (broker and seller written contract)

Answer 9

Bilateral contract

Question 10

interest acquired by buyer with land contract

Answer 10

Equitable title

Question 11

offer returned to buyer with changes by seller

Answer 11

Counteroffer

Question 12

protection for seller when buyer has another house to sell

Answer 12

Escape Claus

Question 13

something of value given in exchange

Answer 13

Consideration

Question 14

those legally qualified to enter into contracts

Answer 14

Competent party

Question 15

transfer of interest in a contract to a third party (sublet or sub rent)

Answer 15

Assignment

Question 16

agreement under which buyer pays in installments and waits for deed

Answer 16

Land contract

Question 17

contract binding one party , other party free to act or not

Answer 17

Option

Question 18

seemingly valid contract but neither party can sue to force performance (drunk story )

Answer 18

Unenforceable contract

Question 19

contract clause requiring punctual performance (contracts have beginning and end ) need to be done within the time limit

Answer 19

time is of the essence

Question 20

return to the status quo

Answer 20

Rescission

Question 21

contract that does not meet all legal requirements

Answer 21

Void Contract

Question 22

contract that is binding, but one party may disaffirm it (minor may cancel)

Answer 22

voidable contract

Question 23

contract that meets all legal requirements (binding by both parties)

Answer 23

valid contract

Question 24

court action usually asking that the seller be force to sell as agreed (action mostly done by a buyer)

Answer 24

Specific performance

Question 25

time within which one is allowed to assert a legal right

Answer 25

Statue of Limitation ( 6 years period )

Question 26

law requiring certain contracts to be in writing

Answer 26

statue of fraud

Question 27

one sided promise, valid only if the other party acts (Reward)

Answer 27

Unilateral Contract

Question 28

convention that a written contract overrides spoken promises

Answer 28

Parol evidence rules

Question 29

substitution of a new contract for an existing one (no liability)

Answer 29

Novation

Question 30

sum agreed on to serve as damages in case of future default (action mostly done by the seller)

Answer 30

Liquidated damages

Question 31

meeting of the minds

Answer 31

Offer and acceptance

Question 32

contract signed by a person (force)

Answer 32

Under Durres or undue influence