Contracts Flashcards
A promise to act or refrain from acting in exchange for a return promise to do the same
Offer
Define acceptance
The express agreement to the terms of the offer
Define legal detriment
A change in position by one to whom a promise has been made or an assumption of duties or liabilities not previously imposed on the person due to the person’s reliance on the actions of the one who makes the promise
Define consideration
Something of value that each party brings to the table to induce the other to enter into an agreement
“Meeting of the minds”
Mutuality of Obligation. Requires that every party to the contract agrees to the specific terms of the contract.
Define void contract
It requires one of the parties to the contract to perform an act that is impossible or illegal.
Define voidable contract
A valid agreement, but one or both of the parties to the contract can void the contract at any time.
Define third party contract
When two parties enter into a contract for the benefit of another
A non party to the contract who benefited from a promise that is made for the purpose of making a gift to that non party
Donee
List the 5-7 contract defenses
- Unconscionability
- Mistake
- Fraud
- Undue Influence
- Duress
- Misrepresentation
- Lack of capacity
Breach of contract that is less severe than a material breach and gives the harmed party the right to sue for damages but does not usually excuse them from further performance
Minor breach
Statue of Fruads
MY LEGS
Define suretyship
Collateral contracts, such as promises to answer for the guaranty of the debt of another person. Ex. Guarantor
Liquidated damages
Damages that are predetermined if either party breaches the contract.
Unwinding of the contract between the parties
Rescission
