week 3 notes Flashcards
contract
agreement that is legally binding - either compel performance or obtain compensation for lack of performance
elements of a contract
Intention to create legal relations *
Offer
Acceptance
Consideration (subject matter of contract)
Capacity
Legality
consensus ad idem
agreement as to the subject or object of the contract.
Counter-offer
if offeree proposed terms that are different - automatic revocation of the original offer, called a counter-offer (buy something for $100, propose $50 instead); Offeree becomes offeror of the counter-offer
postal acceptance rule
Contract is made where and when document containing acceptance is placed in the mail
click-wrap agreement
an Internet click
box of “I agree,”
which constitutes
valid acceptance of enumerated contractual responsibilities.
lapse
the termination of an unaccepted offer by the passage of time, a counteroffer, or the death of a party (death of a party, bankruptcy)
revocation
the termination of an offer by notice communicated to the offeree before acceptance
option
a separate promise to keep an offer open for a period of time.
forum selection clause
A forum selection clause is a contract provision that specifies the court and location that will resolve disputes between the parties
specific performance
an equitable remedy of the court that may be granted for breach of contract where money damages would be inadequate, and that requires the defendant to carry out the agreement according to its terms.
injunction
an equitable remedy
of the court that orders the person or persons named therein to refrain from doing certain acts.
quantum meruit
“as much as he has earned.” a quasi-contractual remedy that permits a person to recover a reasonable price for services and/or materials requested, where no price is established when the request is made. (eg plumbing emergency)
trust
hold property to the use or benefit of another
consideration
something that has value in the eyes of the law, and which a promisor receives in return for a promise.
seal
When contract is under seal, no consideration is required (under seal = intention to be legally bound, replaces need for consideration)
call for tenders
a call for businesses to bid on work - a tender is an offer in response to the call for tenders
promissory estoppel
a rule whereby a person may not evade a promise or deny the truth of a statement of fact made by him or her when another person has relied and acted upon the promise or statement.
