DEFENSES Flashcards
A contracts to sell and B to buy a tract of land, the value of which has depended mainly on the timber on it. Both A and B believe that the timber is still there, but in fact it has been destroyed by fire. Is the contract is voidable by B?
Yes. The contract is voidable by B
A offers to sell B goods shipped from Bombay ex steamer “Peerless.” B accepts. There are two steamers of the name “Peerless” sailing from Bombay at materially different times. B means Peerless No. 2, and A has reason to know this.
A means Peerless No. 1, but B has no reason to know this.
If the court determines that its enforcement would be unconscionable, is this contract voidable by A?
Yes. If the court determines that its enforcement would be unconscionable, it is voidable by A.
A and B orally agree to marry three years later. Is this contract enforceable?
No. The contract is unenforceable because not to be performed within a year, even though it is excepted from the provision for contracts in consideration of marriage.
On June 1, A agrees to sell and B to buy goods to be delivered in October at a designated port. The port is subsequently closed by quarantine regulations during the entire month of October, no commercially reasonable substitute performance is available, and A fails to deliver the goods. Is A’s duty to deliver the goods discharged, and is A not liable to B for breach of contract?
Yes. A’s duty to deliver the goods is discharged, and A is not liable to B for breach of contract.
A contracts to produce a movie for B. As B knows, A’s only source of funds is a $100,000 deposit in C bank. C bank fails, and A does not produce the movie. Is A’s duty to produce the movie is discharged, and is A not liable to B for breach of contract?
No. A’s duty to produce the movie is not discharged, and A is liable to B for breach of contract.
A contracts to repair B’s grain elevator. While A is engaged in making repairs, a fire destroys the elevator without A’s fault, and A does not finish the repairs. Is A’s duty to repair the elevator discharged, and is A not liable to B for breach of contract?
A’s duty to repair the elevator is discharged, and A is not liable to B for breach of contract.
A contracts to employ B as his confidential secretary for a year. B dies before the end of the year. Is B’s duty to work for A discharged, and is B’s estate not liable to A for breach of contract?
Yes. B’s duty to work for A is discharged, and B’s estate is not liable to A for breach of contract.
A contracts to sell and B to buy cloth. A expects to manufacture the cloth in his factory, but before he begins manufacture the factory is destroyed by fire without his fault. Although cloth meeting the contract description is available on the market, A refuses to buy and deliver it to B. Is A’s duty to deliver the cloth discharged, and A is not liable to B for breach of contract?
No. A’s duty to deliver the cloth is not discharged, and A is liable to B for breach of contract.
A contracts to sell a specified machine to B for $10,000. Before A tenders the machine to B, a fire destroys it without A’s fault. Is A’s duty to deliver the machine discharged, and is A not liable for breach of contract?
A’s duty to deliver the machine is discharged, and A is not liable for breach of contract.
A sells land to B, who, as part of the contract, promises that the land shall not be built upon. The land is taken by eminent domain under statutory authority and a building is built on it. Is B’s duty not to build on the land discharged, and is B not liable to A for breach of contract?
B’s duty not to build on the land is discharged, and B is not liable to A for breach of contract.
A and B make a contract under which B is to pay A $1,000 and is to have the use of A’s window on January 10 to view a parade that has been scheduled for that day. Because of the illness of an important official, the parade is cancelled. B refuses to use the window or pay the $1,000. Does B still have a duty to pay and is there a breach of contract?
B’s duty to pay $1,000 is discharged, and B is not liable to A for breach of contract.
A, an insurance company, orally promises to insure B’s house against fire for five years, B promising to pay the premium therefor within the week. Is this within the Statute of Frauds?
No. The contract is not within the Statute of Frauds, since if the house burns and the insurer pays within a year the contract will be fully performed.
A orally promises to work for B, and B promises to employ A for five years at a stated salary. Are the promises within the Statute of Frauds?
The promises are within the Statute of Frauds. Though the duties of both parties will be discharged if A dies within a year, the duties cannot be “performed” within a year. This conclusion is not affected by a term in the oral agreement that the employment shall terminate on A’s death.
A publishes in a newspaper an offer to buy certain goods, stating the terms of his proposal, and his name is printed under the advertisement. B accepts the offer. Is the advertisement sufficient memorandum to charge A.?
The advertisement is a sufficient memorandum to charge A.
A agrees orally to employ B for two years. An unsigned memorandum of the contract, stating its terms, is prepared at A’s direction. Later B begins work and payroll cards are made and initialed by A which state some of the terms but not the duration of the employment. If it is clear that the unsigned memorandum and the payroll cards refer to the same agreement, can they be read together as a sufficient memorandum to charge A?
Yes.