Chapter 16 Flashcards
English parliament passed “ an act for the prevention of frauds and perjuries” the act provides that—-
Certain types of contracts, to be enforceable had to be evidenced by writing and signed by the party whom the contract is being unforced against
Statues of frauds vary from state to state although they are all based on the English act.
True or false
True
The party or parts whom the contract is being i forces against must have signed the contract. This is true in all states
True or false
True
The statute of frauds is misleading because it does not apply to fraud, rather is denies——
Enforceability to certain contracts that do not comply with its writing requirements.
A contract that is oral when it is required to be in writing is normally voidable by a party who later does not wish to fallow through with the agreement.
True or false
True
Five types of contracts that need to be in writing or evidenced by a written memorandum or electronic record.
- Involving an interest in land
- Contracts that Connot be preformed within a year
- Collateral, or secondary, contracts, such as promises to answer for the debt of another
- Promises made in consideration of marriage
- Under UCC contracts for the sale of goods priced at $500 dollars or more
Land is—
Real property that includes all physical objects that are perminatly attached to the soil, such as buildings, fences, trees, and the soil itself.
Operates to a defense to the enforcement of an oral contract for the sale of land
The statute of Frauds
Statue of frauds also deals with other interests in land such as
Mortgage agreements, and leases
For a land contract to be unforced, the contract must state
The description of the property being transferred with sufficient certainty for it to be identified
Contracts that by their own terms cannot be completed within one year.
The year begins when?
The day after the contract is formed
The test for determining whether an oral contract is enforceable under the one year rule is wether an oral contract is enforceable under the one- year rule is
Wether performance is possible within one year, it does not mater wether it is likely to be preformed during that year
If the contract is possible within one year it does not fall under
The statute of frauds and need not be in writing to be enforceable
Does an oral contract for lifetime employment fall under statute of frauds
No * a person can die within one year* therefore the contract could possible be preformed with a year
A collateral promise is
Ancillary ( subsidiary) to a principal transaction or primary contractual relationship and must be in writing
A primary obligation is
A third parties promise to pay another debt, that is not conditioned on the persons failure to pay
As a general rule a contract in which a party assumes a primary obligation does —
Not need to be in writing to be enforceable
Every state has a statute that stipulates what types of contracts must be in writing.
Such as statute is referred to as —-
Statute of frauds
A secondary obligation is
A promise to pay anothers debt only if that party fails to pay
A secondary obligation/ collateral promise must be– to be enforceable
In writing
The main purpose rule
An oral promise to answer for the debt of another unless the guarantors main purpose in incurring a secondary obligation is to secure a personal benefit
Promises made in consideration of marriage
Are covered by statute of frauds.
Prenup
Anti up etc.
Contracts for the sale of goods.
Goods over 500 dollars are covered by statute of frauds and must be in writing.
A contract for the sale of goods exceeding 500 dollars will not be enforceable for what quantity
Any quantity greater that stated in the contract
