Promissory Estoppel and Unjust Enrichment

Question 1

The owner offered to sell for 100,00 to remain open for 10 days. The buyer wrote, “I accept your offer, provided you can convey a marketable title. This is a counteroffer. True or false?

Answer 1

False. Adding conditions that are already implicit in the offer such as marketable title to real property, will not result in a counteroffer.

Question 2

A offers to sell B stock in Microsoft. The next day after learning of a sharp rise in the stock price, B sends a fax accepting the offer, This constitutes a(n)

Answer 2

Attempted acceptance after offer lapsed

Question 3

A, in writing offers to sell B her stereor and in exchange for $5, promises B to keep the offer open for 10 days. This is a revocable offer.

Answer 3

False, This a security deposit

Question 4

Niece has decided to go to law school. “I hear you are going to law school here is $10,000. Niece goes to college and buys $8,000 worth of study aids. Niece has a claim against Uncle Rich even though he did not breach a contract. True or false?

Answer 4

True. She has a claim under promissory estoppel.

Question 5

Elliot executes and delivers a promissory note to Kaylee Inc. to give Kaylee a false appearance of assets, deceive the banking authorities, and enable the bank to continue to operate. After several years Kaylee fails and is taken over by India Co. Elliot’s note is

Answer 5

enforcable by India Co.

Question 6

Equitable versus Promissory Estoppel

Answer 6

Promissory Estoppel: They should not have relied on that.

Equitable Estoppel: Misrepresentations of facts in a sale.

Question 7

unjust enrichment reinstatement

Answer 7

A person who is unjustly enriched at the expense of another is subject to liability

Question 8

unjust enrichment values

Answer 8

1. Fairness
2. Duty implied in law
3. Restoring a benefit
4. No need for evidence of contract

Question 9

unjust enrichment elements

Answer 9

1. Benefit: P conferred and (D retained) a benefit.
2. Gift: P didn’t confer the benefit as a gift (compensation expected)
3. Officious: P was not acting officiously (unwanted or unnecessary behavior)

Question 10

What does officiously mean?

Answer 10

unwanted or unnecessary behavior

Question 11

Defining “unjust”

Cotnam v. Wisdom
Toalson v. Arch Madison

Answer 11

where improvements are made with knowledge of one party and the other party in good faith does not have the knowledge, the plaintiff can recover.

Answer 12

It is unjust to perform in good faith when one knows that they will not give payment. In absence of a contract the court will do performance.

Question 13

Rule with unjust enrichment

Answer 13

It is unjust if the beneficiary of a performance in good faith retains the benefit without compensating the party who is performing

Answer 14

Not saying something, is evidence that he wanted. There was not assent