Brainscape's Knowledge GenomeTM

Browse over 1 million classes created by top students, professors, publishers, and experts.


See full index

REG > Contracts > Flashcards

Contracts Flashcards

1
Q

Inherent gift

A

Executor elects to use alternate valuation date and property is distributed, sold &exchanged within 6months after decedent’s death, the property is value as of the date of sale, distribution, exchange or other disposition

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

Accord and satisfaction

A

Parties agree to change a contract by substituting performance

Accord: agreement to change performance- pay lesser amount

Satisfaction completion of the accord-no discharge until satisfaction

ACCORD + SATISFACTIOn -> discharge Original Duty

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

Express contract

A

Oral or written contract

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

Implied in fact contract

A

Contract form by conduct or action

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

Implied in law contract or Quasi contract

A

NOT a contract but a remedy to prevent plaintiff unjust enrichment

Ex. Put down payment and the seller default-> buyer can sue to recover the money

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

Unilateral contract

A

1promise in exchange for performance

Contract is formed when promise is completed

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

Bilateral contract

A

A promise exchange for a promise

Contract is formed as soon as promises are exchanged

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

Executory contract

A

Duties remain to be performed under the contract

Not fully perform by both parties

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

Executed contract

A

All duties under contract have been performed

Fully perform by both parties

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

Common law vs UCC

A 
Common law RISE: need stated price and time of pmt to be valid
Real estate
Insurance
Services
Employment

UCC applies for Sale of good- movable things. ONLY need stated QUANTITY term to be valid contract ( states contract for sale of goods has been made between parties and signed party to be charged

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

3 requirements for a legally enforceable contract

A

Agreement made up of OFFER and ACCEPTANCE

EXCHANGE for CONSIDERATION

LACK Of DEFENSE

WRITING is NOT required for a contract to be ENFORCEABLE

OFFER must be accepted by OFFEREE before it is terminated by OFFEROR

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

3 elements of OFFER

A

Seriously intended

Must be communicated by words or actions

Definite in term: must include specific price in Common Law Or quality in UCC

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

Terminate an offer

All is effective ate the date received

A

REVOKE: offeror can revoke offer anytime before acceptance by communicating (except Option Contract, merchant firm offer, unilateral contract)

REJECTION: terminate the offer and can make Counter offer

AUTOMATIC by operation of Law:
+ either parties dies or incompetent prior to the acceptant
+ subj matter is destroyed
+ sell illegal thing

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

Acceptance of a offer

A

ONLY person to whom the offer was made can Accept the offer

ANY REASONABLE manner can use to accept offer unless it is required to use specific way

Mirror image rule: Offer MUST be accepted with NO modification at all ( if make any small change, it is a counter offer)_applied to COMMON LAW ONLY, not for UCC

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
15
Q

2 elements of consideration

A

Legal value given by each party (sth that not obligated to do)

Bargained for exchange

EXCEPT for PROMISSORY ESTOPPEL- donation to charity

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
16
Q

Types of fraud

A

FRAUD in EXECUTION: tricked victim into signing sth->VOID

FRAUD in INDUCEMENT: lying victim to buy sth->VOIDABLE

INNOCENT misrepresentation: both enter contract without knowing

DURESS: threat & force ->physical duress VOID, other Threat VOIDABLE

UNDUE influence: base on weakness to threat VOIDABLE

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
17
Q

Types of fraud (continue) MS RID

A

MUTUAL MISTAKE: both parties make mistake VOIDABLE (subj matter destroy without knowing)

UNILATERAL MISTAKE: one party know ab the error in the contract

18
Q

Competent parties in contrac

A

MINORS can cancel the contract anytime before he turns 18 (except Contract to buy NECESSITIES- food, cloth..)-> RATIFY contract when turn 18, minor cant get out of contract

INTOXICATION sign a contract VOIDABLE at the drunkard option if lack of ability to understand nature and term of contract at that time

INSANE -> contract VOIDABLE , future contact is VOID

19
Q

Statue of limitation to file lawsuit

A

Common law: RISE 4 to 6 years from the breaching date

UCC: 4year

Statute of limitations bars action at law on contracts unless they are brought within prescribed periods of time

20
Q

Statue of Frauds : 6 contracts require a writing and MUST be Signed by the Defendant to enforce

MYLEGS

A

Marriage

Year: cant compete in 1year

Land/ involve interest in Real estate regardless of price

Executor: promise to personal liable for debt of Estate

Goods: sales of good for more than $500 under UCC ( not require under COMMON LAW)

SURETYSHIP: act as a Surety

21
Q

Exception to writing requirement

A

Oral contract involving specially manufactured goods

Lease bind recipient as well in 10days without writing

22
Q

Type of writing

A

Contract itself need NOT be in writing, any type of writing states material terms is sufficient

ONLY need to be signed by one party but ONLY ENFORCEABLE against the party signed

23
Q

Novation

A

Same agreement with substituted party

All parties MUST agree to release

24
Q

Prevention of performance

A

Breach of contract

25
Q

Parole evidence rule

A

Before written final contract: Evidence NOT accepted either written or oral

After written final contract: Evidence accepted either written or oral

EXCEPTION: to use as evidence
subsequent modification after signed date
Doubtful and uncertainty
Fraud, duress or mistake

PROHIBITED if related to a change in meaning of an unambiguous provision in the contract

26
Q

Cant assign contract require

A

Specific skill for personal service

Material increase risk

Prohibited by contract or law

Insurance contract

27
Q

Quasi contract

A

Not an actual contract

Legal substitute formed to impose equity between two parties

28
Q

To modify an existing contract

A

Both parties must give a new consideration in exchange

NOTE: past consideration is not sufficient to serve as consideration for a new contract because it is not bargained for.

29
Q

Rescission

A

Cancel the contract and restore the parties to their former position

30
Q

Special performance

A

Compels performance promised

Used when money damages will not suffice( when subj matter is unique and sale of land)

Injured party may seek compensatory damages

Not available ti compel personal services

Only party who is to receive the unique item

31
Q

Who can donee beneficiary sue?

A

Only the party who make the promissory- the one who owe the promise action (not the person give gift)

Donee beneficiary can assert rights to the contract if the beneficiary can prove that the terms of the contract and surrounding circumstances manifest a clear intent to benefit her

32
Q

Intended beneficiary or creditor beneficiary

A

When debtor contract with the second party to pay its owed debt to its creditor, the creditor is creditor beneficiary

It has the right to enforce the contract

33
Q

Anticipatory repudiation

A

Allow parties either sue at once or wait until after performance is due when other party indicates that they will not perform

34
Q

Mail box rules apply when

A

Valid Acceptant is sent through properly addressed and

+ offeree uses the express means of communication
+ any reason means is not stated

NOT APPLY if offer state NOT EFFECTIVE UNTIL RECIEVED

35
Q

Bona fide dispute

A

Change the debt to an unliquidated debt

Pmt of lesser sum to discharge an unliquidated debt will be effective if accepted as pmt in full if each party gives give consideration in form of forfeiting claim to dispute the amount of debt

36
Q

Undue influence

A

Rescind the contract by influenced by the relationship with second party of the contract

37
Q

Covenant not to compete to be enforceable, the agreement must

A

Protect party business’ legitimate interests and

Geographic area coved must be reasonable

38
Q

Inquiry

A

Is not counter offer

It is merely a request for different term

39
Q

Minor after reaching age of majority

A

If he isnt disaffirm the contract in a timely fashion(3days after age of 18) they are bind in the contract.

The seller if not minor has to perform the contract unless the minor is disaffirm.( only minor can disaffirm the contract)

40
Q

Minor may choose to RATIFY within a reasonable time after reaching age or majority

A
  1. By word orall or writing but must ratify ALL
  2. By actions that indicate ratification
  3. Ratification prior to majority is not effective
41
Q

In the event of lawsuit

A

Either party has a chance of winning or losing on the disputed claim

Creditor has no chance of losing where there is no dispute as to the amount owned; there is no consideration for the promise to pay a lesser amount

REG (18 decks)

Brainscape helps you reach your goals faster, through stronger study habits.
© 2024 Bold Learning Solutions. Terms and Conditions