MEE - Bar Exam Drills

Question 1

Parole Evidence:

Answer 1

The rule states that where the parties have an agreement that is fully integrated, the parties cannot introduce evidence of prior negotiations.

When an agreement is partially integrated, the parties can introduce evidence of terms that supplement the agreement, but not terms that contradict the agreement.

To determine whether agreement is fully integrated, courts will look at the four corners of the document.

MEE EXAMPLE: “Since the agreement is fully integrated, the evidence of the oral negotiation about the ____ is only admissible if it does not contradict a term in the writing. The written agreement did not include any provision about ____ Therefore, the oral agreement would not contradict anything in the writing because the writing is silent on the issue.

Therefore, the oral agreement would be in addition to the writing, so it is not barred by the parol evidence rule.”

Question 2

Parole Evidence - Words or Terms:

Answer 2

Under the parol evidence rule, regardless if an agreement is fully or partially integrated, a court will allow the parties to introduce evidence to help define words or terms within the written agreement, including terms that are ambiguous.

Question 3

Non-Complete Clauses:

Answer 3

Courts will typically enforce non-compete agreements within a contract.

Therefore, if a party that has agreed to the non-compete agreement and then proceeds to enter into an enterprise in which that party is competing against the other party, that party will be deemed to have breached the contract.

The courts look to the reasonableness of the non-compete agreement, and may not enforce one that is overly broad or limiting.

Question 4

Express Warranty:

Answer 4

UCC - Article 2 governs contracts of the sale of goods which are tangible moveable objects.

An express warranty is an express promise made by the seller to the buyer.

A breach of warranty occurs when the sellers promises fall below the sellers promises.

Question 5

Mutual Mistake:

Answer 5

A party may avoid a contract on the basis of mutual mistake when neither party was aware of a material fact about the good, but for the mistake, one of the parties would not have proceeded with the transaction.

Mutual mistakes requires:

(a) both parties are mistaken concerning a basic assumption of facts

(b) mistake is material

(c) the adversely affected party did not assume the risk of the mistake