Defenses to Enforceability

Question 1

defenses to enforceability

Answer 1

Age
mental illness
duress
undue influence
unconscionability
illegality
unilateral mistake
mutual mistake
intentional misrepresentation
negligent misrepresentation
non-compete clauses

Question 2

Age:

Answer 2

Age:
*A contract with a minor is VOIDABLE at
option of minor

Question 3

Mental Illness:

Answer 3

Mental Illness:
*Contract is VOID

Question 4

Duress:

Answer 4

Duress:
*Wrongful threat
voidable

Question 5

Undue Influence:

Answer 5

Undue Influence:
*Uneven bargaining position
voidable

Question 6

Unconscionability:

Answer 6

Unconscionability:
* Result itself will be unfair

void
- can void in part, in whole, or can modify to render it conscionable

Question 7

Illegal:

Answer 7

Illegal:
*Unenforceable
void

Question 8

Unilateral Mistake:

Answer 8

Unilateral Mistake:
*One party is mistaken
*Generally, not a defense unless:
1)Other party knew of mistake
2)Clerical error

void if mistake renders the core essence of the K inert

voidable if the non-mistaken party knew or had reason to know of the mistake

Question 9

Mutual Mistake:

Answer 9

Mutual Mistake:
*Both parties mistaken about material term
*Remedy: Rescission

Examples of MM:
oBuying an animal, but neither party knew the
animal had a disease
oJoe Namath rookie card, but neither party knew it
was from the bottom of the Cracker Jack box

Question 10

Intentional Misrepresentation:

Answer 10

*Knew/should have known of falsity with
intent to induce reliance
voidable

Question 11

Negligent Misrepresentation:

Answer 11

Negligent Misrepresentation:
*Causes the innocent party to detrimentally
rely
voidable

Question 12

Non-Compete Clauses:

Answer 12

Non-Compete Clauses:
*Reasonable under the circumstances
void

Question 13

what does the statute of frauds state?

Answer 13

certain Ks MUST be in writing

Question 14

Which certain contracts MUST be in writing under the stt of frauds?

Answer 14

MYLEGS

• Marriage
• k cannot be performed in one Year
• Land
• Executor
• Guarantor/surety
• Sale of goods of $500 or more

Question 15

Part Performance Exception of SOF:

Answer 15

A showing of 2 of these 3

1. some payment
2. possession of land
3. valuable improvements

Question 16

Guarantor/Surety Exception of SOF:

Answer 16

1) Look to main purpose/motive
2) If self-serving, contract does NOT need to
be in writing

Question 17

Sale of goods of $500 Exception:

Answer 17

Sale of goods of $500 Exception:
1. Partial Performance will take contract out of SOF

2. Merchant Confirmation:
   * Confirmation signed by sender
   * Includes the quantity
   * No written objection within 10 days

Question 18

Legal Writing Def under/that fulfills SOF:

Answer 18

1) Parties
2) Subject matter
3) Material terms
4) Signed by party to be charged