FINAL

Question 1

rules of affiliation

Answer 1

who are you tied to?

Question 2

common law

Answer 2

rules be the same for everyone

Question 3

mixed sale

Answer 3

a sale that involved the provision of a service and a good in the same transaction

Question 4

merchant

Answer 4

UCC 2

(1) deals in the goods of the kind involved in a transaction or
(2) by his or her occupation hold himself or herself out as having knowledge or skill peculiar to the goods involved in the transaction

Question 5

lease

Answer 5

a transfer of the right to the possession and use of named goods for a set term in retyen for certain consideration

Question 6

lessor

Answer 6

a person who transfers the right of pesssion and use of goods under a lease

Question 7

lessee

Answer 7

a person who acquires the right to possession and use of goods under a lease

Question 8

finance lease

Answer 8

a three party transaction consisting of a lessor, a lessee, and a supplier.

Question 9

battle of forms

Answer 9

a UCC rule states that if both parties are merchants. then additional terms contained in the acceptance become part of the sales contract UNLESS (1) the offer expressly limits the acceptance to the terms of the offer, (2) the additional terms materially alter the original contract, or (3) he or she objects to the additional terms within a reasonable timer alter receiving the offeree’s modified acceptance. This is no contract if the additional terms so materially alter the terms of the original offer that the parties cannot agree on the contract.

Question 10

statute of frauds

Answer 10

a rule in the UCC that requires all contract for the sale of good costing $500 or more and lease contracts involving payments of $1,000 or more to be in writing

Question 11

parol evidence rule

Answer 11

a rule that says that if a written contract is a complete and final statement of the parties’ agreement. any prior or contemporaneous oral or written statements that alter, contradict, pr are in addition tot he terms of the written contract are inadmissible in court regarding a dispute over the contract.

Question 12

offeror

Answer 12

the party who makes an offer to enter into a contract

Question 13

offeree

Answer 13

the party to whom an offer to enter into a contract is madre

Question 14

elements of a contract

Answer 14

1. agreement- 
offer and acceptance
2. consideration- 
promise must be supported by bargained for consideration ex. money
3. contractual capacity-
4. lawful object-
object must be lawful

Question 15

common law of contract

Answer 15

contract law developed primarily by state courts

Question 16

uniform commercial code UCC

Answer 16

a comprehensive statutory scheme that includes laws that cover aspects of commercial transaction

Question 17

bilateral contract

Answer 17

a contract entered into by way of exchange of promises of the parties; “a promise for a promise”

Question 18

unilateral contract

Answer 18

a contract in which the offor’s offer can be accepted only by the performance of an act by the oferee; a “promise for an act”

Question 19

executory contract

Answer 19

a contract that has not been fully performed by either or both sides

Question 20

express contract

Answer 20

an agreement that is expressed in written or oral words

Question 21

breach of contract

Answer 21

a situation that occurs if one or both of the parties do not perform their duties as specified in the contract

Question 22

complete performance (strict performance)

Answer 22

a situation in which a party to a contract renders performance exactly as required by the contract. complete performance discharges that party’s obligations under the contract

Question 23

tender of performance

Answer 23

an unconditional and absolute offer by a contracting party to perform his or her obligations under a contract

Question 24

substantial performance

Answer 24

performance by a contracting peaty that deviates only slightly form complete performance

Question 25

minor breach

Answer 25

a breach that occurs when a party renders substantial perfomance of his or her contractual duties

Question 26

elements of fraud

Answer 26

1. the wrongdoer made a false representation of material fact.
2. the wrongdoer intended to deceive the innocent party
3. the innocent party justifiably relied on the misrepresentation
4. the innocent party was injured

Question 27

fraud in the inception

Answer 27

fraud that occurs if a person is deceived as to the nature of his or her act and does not know what he or she is signing

Question 28

fraud in the inducement

Answer 28

fraud that occurs when the party knows what he or she is signing but has been fraudulently induced to enter into the contract

Question 29

fraud by the concealment

Answer 29

fraud that occurs when one party take specific action to conceal a material fact from another party

Question 30

innocent misrepresentations

Answer 30

fraud that occurs when a person makes a statement of fact that he or she honestly and reasonable believes to be true even though it is not

Question 31

duress

Answer 31

a situation in which one party threatens to do a wrongful at unless the other party enters into a contract

Question 32

undue influence

Answer 32

a situation in which one person takes advantage of another person’s mental, emotional, or physical weakness and unduly persuades that person to enter into a contract; the persuasion by the wrongdoer must overcome the free will of the innocent party