LAW

Question 1

Contract Law Sources

Answer 1

Common law - Court Decisions
Model law - Uniform Commercial Code (sale of goods)

Question 2

Objective Theory of Contracts

Answer 2

Valid contract exists if a reasonable person would think a contract exists.

Question 3

Parties of Contract

Answer 3

Offeror: One who makes the offer
Offeree: One who receives the offer

Question 4

Bilateral Contracts

Answer 4

Contract is formed upon offeree’s return promise

Question 5

Implied

Answer 5

Created by conduct

Question 6

Unilateral Contracts

Answer 6

Contract not formed until offeree actually performs

Question 7

Quasi-Contract AKA

Answer 7

Implied in Law Contract

Question 7

Express Contracts

Answer 7

Created by words

Question 8

Quasi-Contract/Implied in Law Contract

Answer 8

No actual contract exists, but court acts like one does to promote fairness by prohibiting unjust enrichment

Question 9

Advertisements

Answer 9

considered INVITATION deal (Not offer unless super specific)

Question 10

Offeree’s Options

Answer 10

Accept
Reject
Counter offer (Rejection + new OFFER)
Ignore (Expires after reasonable time)

Question 10

Offers not valid IF

Answer 10

Jokes
Anger
Exploratory Question

Question 11

Offer Dies

Answer 11

Offeree rejects or counter-offer
Offeror revokes
Lapse of time
Subject matter destroyed
Death
Becomes illegal

Question 12

ACCEPTANCE REQUIREMENTS

Answer 12

UNEQUIVOCAL
IDENTICAL TO OFFER

Question 13

EFFECTIVE TIMES

Answer 13

OFFER - When received
REJECTION - When received
REVOCATION - When received
ACCEPTANCE - When Sent (mail box rule)

Question 14

CONSIDERATION

Answer 14

Each party must suffer legal detriment (New legal duty or Give up existing right)

Question 15

6 ISSUES with consideration

Answer 15

1. Pre-existing Duty (The party was already obligated)
   2.Past consideration (Already did the thing) (Second Promise = Gift Promise)
2. Illusory Promises (I may sell you my car)
3. Moral Obligations
4. Accord and Satisfaction (Both parties agree to change terms to settle disputes)
5. Release

Question 16

4 PROMISSORY ESTOPPEL Requirements

Answer 16

1. Promise
2. Justifiable Reliance
3. Reliance Substantial
4. Unjust is not enforced

Question 17

RESTORATION

Answer 17

Duty of adult to return minor to status quo

Question 18

RESTORATION

Answer 18

Duty of minor to return what is left or compensation to the adult
Historically: Minor gets full refund
Trend: Minor gets refund minus:
- Benefit of stream
- Decline in market value