R7

Question 1

Termination of an agency by operation of law occurs when

Answer 1

death of either principal or agent
incapacity of the principal
discharge in bankruptcy of the principal
failure to acquire necessary license
destruction of the subject matter
subsequent illegality

Question 2

void

Answer 2

unenforceable by either party

Question 3

voidable

Answer 3

avoided at the option of the party that is adversely affected

Question 4

fraud in the execution

Answer 4

void!!!!
party is deceived into signing something

Question 5

fraud in the inducement

Answer 5

voidable!!!
knew there was a contract by terms are materially misrepresented

Question 6

Which defenses are void? (APIE)

Answer 6

Adjudicated incompetency
Duress (physical)
Illegality
Fraud in the execution

Question 7

What is an accord and satisfaction

Answer 7

Same parties, new agreement

Question 8

What is a notation?

Answer 8

New party & old party is released

Question 9

What modifications are admissible under the parole evidence rule?

Answer 9

subsequent (made after the contract has been entered into) statements that contradict

Question 10

Common law contracts

Answer 10

contracts for:
personal services and real estate
intangible personal property
fixtures - things attached to the land

Question 11

Under the sales article, what are the four exceptions to the statute of frauds? (SWAP)

Answer 11

specially manufactured
written confirmatory memo
admission in court
performance

Question 12

Mirror image rule applies to

Answer 12

common law contracts NOT UCC.

Note: if merchants - minor changes are allowed in acceptance (major changes is a counteroffer)

Question 13

Four types of warranties

Answer 13

express warranty
warranty of title
implied warranty of merchantability
implied warranty of fitness for particular purpose