Intro to Contracts

Question 1

Contract

Answer 1

a binding agreement enforceable by law

Question 2

UCC

Answer 2

Uniform Commercial Code

Question 3

Sale

Answer 3

passing of title to goods from seller to buyer for a price

Question 4

goods

Answer 4

tangible personal property, moveable at time of purchase

Question 5

Which contracts are governed by Article 2 of the UCC?

Answer 5

The sale of goods

Question 6

Which contracts are governed by common law?

Answer 6

all contracts that are not specifically displaced the the Code

Question 7

Examples of contracts governed by common law?

Answer 7

Real Property, employment contracts, service contracts, sale of intangibles like patents and copyrights

Question 8

What are the Essential Elements for Contracts?

Answer 8

1) Mutual Agreement
2) Mutual Consideration
3) Legality of subject matter
4) Capacity of parties
5) Absence of invalidating conduct

Question 9

Express Contract

Answer 9

terms stated orally or in writing

Question 10

Implied in Fact Contract

Answer 10

termed formed by conduct, or nonverbally

Question 11

Bilateral Contract

Answer 11

formed by the exchange of promises

Question 12

Unilateral Contract

Answer 12

formed by the exchange of an action for a promise

Question 13

Does a duty to perform exist with bilateral or unilateral?

Answer 13

Bilateral

Question 14

Valid Contract

Answer 14

agreement meets all requirements for a binding contract, and has legal effect

Question 15

Void Contract

Answer 15

agreement does not meet all requirements for a binding contract and has no legal effect

Question 16

Voidable Contract

Answer 16

defective agreement, yet not wholly lacking legal effect

Question 17

Unenforceable Contract

Answer 17

Not void or voidable, yet still other rules prevent performance (ex. Statute of Frauds, Statute of limitations)

Question 18

Executed Contract

Answer 18

contract has been fully carried out

Question 19

Executory Contract

Answer 19

contracts partially or entirely unperformed

Question 20

Gratuitous Promise

Answer 20

a gift which should not be enforced by law

Question 21

Why do we have Promissory Estoppel

Answer 21

Because sometimes the courts need to enforce non contractual promises to avoid injustice

Question 22

Can an executed gift be revoked?

Answer 22

No, will not allow an executed gift to be revoked after possession of the item has been transferred

Question 23

Essential Elements of Promissory Estoppel?

Answer 23

1) No contract exists
2) One party makes a promise
3) Knowing how the other will rely
4) And the other party relies to his detriment or injury

Question 24

What is another name for Quasi Contract?

Answer 24

Implied in Law Contract

Question 25

Essential elements for Quasi Contract?

Answer 25

1) No contract exists
2) Transfer of benefit
3) No intention to make a gift (expected payment)
4) Other party accepts the benefit knowing about expected payment