Chapter 14

Question 1

What contracts are required to be in writing

Answer 1

real estate
longer then a year
collateral contracts
Marriage
contracts for sale of goods more then 500
contracts for lease of goods more then 1000
real estate agents contracts
promise to write will

Question 2

Executory Agreement

Answer 2

A contract that is not in writing even though the Statute of Frauds requires it to be
These contracts are unenforceable by either party

Question 3

Executed Contracts

Answer 3

An oral contract that should have been in writing under the Statute of Frauds that is executed.
Neither party can raise the Statute of Frauds to rescind the contract

Question 4

One year rule

Answer 4

an executory contract that cannot be performed by its own terms within one year of its formation must be in writing

Question 5

Guaranty Contract

Answer 5

A promise in which one person (the guarantor) agrees to answer for the debts or duties of another person

Question 6

Main Purpose Exception

Answer 6

If the main purpose of a transaction and an oral collateral contract is to provide pecuniary benefit to the guarantor, the collateral contract does not have to be in writing to be enforced

Question 7

Part performance

Answer 7

An equitable doctrine that allows the court to order an oral contract for the sale of land or transfer of another interest in real property to be specifically performed if it has been partially performed and performance is necessary to avoid injustice

Question 8

Who is required to sign

Answer 8

require a written contract, whatever its form, to be signed by the party against whom enforcement is sought

Question 9

Incorporation by reference

Answer 9

Integration made by express reference in one document that refers to and incorporates another document within it

Question 10

standards of interpretation

Answer 10

Ordinary words are given their usual meaning according to the dictionary
Technical words are given their technical meaning unless a different meaning is clearly intended

Question 11

Parol evidence

Answer 11

Any oral or written words outside the four corners of a written contract

Question 12

Parol evidence rule

Answer 12

If a written contract is a complete and final statement of the parties’ agreement, any prior oral or written statements that alter, contradict, or are in addition to the terms of the written contract are inadmissible in court regarding a dispute over the contract

Question 13

Merger clause

Answer 13

A clause in a contract that stipulates that it is a complete integration and the exclusive expression of the parties’ agreement