Vocabulary & Applicable Law

Question 1

What is a unilateral contract?

Answer 1

Unilateral contract – results from an offer that expressly requires performance as the only possible method of acceptance.

Question 2

What is a bilateral contract

Answer 2

Bilateral contract – all other offers. Usually offer is silent as to the method of acceptance. Bilateral contract unless (1) reward, prize, contest (2) offer expressly requires performance for acceptance.

Question 3

What is the remedy under a quasi contract?

Answer 3

Quasi contract – equitable remedy.

Question 4

What is the applicable law for a claim under a real estate contract? UCC or common law?

Answer 4

common law

Question 5

In what cases is UCC Article 1 and Article 2 considered to be applicable law?

Answer 5

Under Article 1, common law contracts applies to sales of goods “unless displaced by particular provisions” of Article 2.

Article 2 applies to contracts that are primarily for sales of goods. The factors that determine whether Article 2 applies are thus:

(i) type of transaction – sale

AND

(ii) subject matter of transaction – goods, i.e., tangible, personal property.

Question 6

For a cause of action under a service contract, what law applies? UCC or common law?

Answer 6

common law

Question 7

For a claim regarding the sale of goods, what law applies? UCC or common law?

Answer 7

UCC Article 2

Question 8

In determining whether common law or the UCC is applicable law in mixed deal cases, what is the general rule regarding mixed deals? Are there any exceptions?

Answer 8

General rule – all or nothing/ look to the more important part

Exception – if contract divides payment, then apply UCC to sale of goods part and common law to the rest