exam 2 Flashcards
contract
agreement between parties enforceable under law (legally) binding promise
steps involved in formation of a contract
mutual agreement offer: starting point of a contract acceptance consideration legality capacity/competence
interpretations used by the courts
contracts are interpreted as integrated whole
in event of ambiguity, contract will be interpreted mostly strictly against party drafting documents
worst case scenario
parol evidence rule
once parties have agreed to a complete written understanding, no prior or written evidence may be introduced.
ways that contracts can be rendered unenforceable
misrepresentation
under influence
duress
mutual mistake
misrepresentation
a false assertion of facts which induces another party to enter into a contract
unduer influence
when a dominant party unfaily persuades the weaker party to enter into a contract
duress
any wrongful act or threat which coerces a party to enter into a contract
mutual mistake
when both parties share a common mistaken assumption about a vital existing fact upon which they based their contract
remedies for a breach of contract
monetary
liquidated and compensatory
monetary
compensate non-breaching party in a comparable manner as if contract has been performed as promise
liquidated
allows parties to establish a reasonable approximation of damages. used in employee contract-cannont be punitive. (don’t know the exact amount of damages)
compensatory
arise directly from the loss of the bargain-used when exact amount of damages is known (reduced damages)
specific performance
courts generally relucant to require specific performance (rarely occurs)
requires that the performance of the contract be carried out in the specific form in which it was made-used when damages would be inadequage compensation for the breach an agreement
rescission
If one party is in breach of the contract, the other party may rescind the contract without being in breach
Restores parties to pre-contract position
restitution
Restitution - Return goods, property, etc. transferred under contract
Equivalent amount of $$
Used when fraud, misrepresentation, or mistakes have occurred
provisions found in contracts
duties and responsibilities terms of employment reassignment clause compensation clause provision for outside and/or supplemental income termination clause buy out provision arbitration agreement
reassignment clause
should place termination burden on coach if he/she chooses not to take assignment
compensation clause
fringe benefits, bonuses, incentives
termination clause
death, disability, just cause
fee simple absolute:
owner with complete control
purchases, gifts, dedication, emincent, domain/condemnation
less than fee simple
property based upon a contract
rental agreements, leases, cooperative/ joint use agreements
public trust doctrine
the principle that certain resources are preserved for public use and the government is required to maintain them from public’s reasonable use
invitee
individual who paid for the use of premises
HIGHEST STANDARD OF CARE