Chapter 9- Introduction to contracts

Question 1

What is a contract?

Answer 1

A promise or set of promises the breach for which the law provides remedy for

Question 2

What is a contractual breach?

Answer 2

breaking what you promised to perform

Question 3

What are the 4 elements of a contract?

Answer 3

1. manifestation of mutual assent (offer and acceptance)
2. consideration ( intentional exchange of legal benefit or detriment)
3. legality of object
4. capacity (both parties must have contractual capacity)

Question 4

What is an Express Contract?

Answer 4

parties have manifested their agreement by oral or written language or both

Question 5

What is an implied contract?

Answer 5

inferred from the parties conduct, not from spoken or written words

Question 6

What is a unilateral contract?

Answer 6

promise given in exchange for another act (other than a promise)

Question 7

What is a bilateral contract?

Answer 7

promise given in exchange for another promise

Question 8

What is a valid contract?

Answer 8

must meet all the requirements of a binding contract (enforceable)

Question 9

What is a void contract?

Answer 9

does not meet all requirements of a binding contract ( no contract at all, has no legal effect)

Question 10

When is a contract voidable?

Answer 10

it is a legal contract but can be avoided by 1 or more parties

Question 11

What is an unenforceable contract?

Answer 11

neither void nor voidable

Question 12

what is an executed contract?

Answer 12

a contract that has been fully performed by both parties

Question 13

what does the term executory mean?

Answer 13

“unperformed” when 1 or more promises by any party to the contract are yet unperformed or where the contract is wholly unperformed by one or more of the parties

Question 14

What is the difference between informal and a formal contract?

Answer 14

Formal: depends on a particular form or mode of expression for its legal existence
informal: all other contracts whether written or oral no formality for their legal validity

Question 15

What does promissory estoppel mean?

Answer 15

Is not a contract. 1 party justifiably relies on a promise of another to their detriment

Question 16

What is an example of a promissory estoppel?

Answer 16

A girl relies on her father to pay tuition, buys car with what would be used as tuition money- cant afford tuition now since dad wont pay.

Question 17

What is a Quasi contract? Is it a non-contractual promise?

Answer 17

1. plaintiff confers benefit on defendant
2. defendant knows/appreciates benefit
3. defendants retention of benefit is inequitable
   (based in restitution)