Q&A Hero

Q: Duress is a situation in which one party threatens to do a wrongful act unless the other party enters into a contract.

Q: A material fact is a fact that is irrelevant to the subject matter of a contract but pertains to the conduct of the parties.

Q: An ambiguity in a contract may constitute a mutual mistake of a material fact.

Q: If there has been a mutual mistake, the contract cannot be rescinded.

Q: A unilateral mistake occurs if both parties know the object of the contract but are mistaken as to its value.

Q: Intentional misrepresentation is considered fraud.

Q: To be actionable as fraud, the misrepresentation must have been the sole factor in inducing the innocent party to enter into the contract.

Q: Which of the following elements must be established to create an implied-in-fact contract? A) The plaintiff provided the property or services gratuitously. B) The defendant accepted the property or services offered by the plaintiff as a fee for an illegal activity. C) The plaintiff made the defendant sign the contract and then changed its terms, calling the new terms "previously implied". D) The defendant was given an opportunity to reject the property or services provided by the plaintiff but failed to do so.

Q: Which of the following statements is true of the doctrine of quasi-contract? A) Agreement between parties to a quasi-contract has been inferred from their conduct. B) It is an equitable doctrine intended to prevent unjust enrichment. C) It applies only where there is an enforceable contract between the parties. D) It allows a court to award monetary damages to a defendant because no actual contract existed between the parties.

Q: A unilateral mistake is a mistake in which only one party is mistaken about a material fact regarding the subject matter of a contract.

Q: Which of the following is true of enforcing a contract? A) A contract is only considered valid if it is enforceable by both parties. B) Parties may voluntarily perform a contract that is unenforceable. C) In an unenforceable contract, at least one party has the option to void his or her contractual obligations. D) Void contracts are enforceable in cases involving mutual mistakes.

Q: An oral agreement to purchase a neighbor's bicycle is a(n) ________ contract. A) void B) voidable C) implied D) express

Q: What is recognizance? A) a sealed document that contains a formal contract whose contents are known to both parties and the referee who supervised its signing B) a party's acknowledgement in court that he or she will pay a specified sum of money if a certain event occurs C) a party's acknowledgement in court that he or she is not liable to pay any money if a certain event occurs D) a sealed document that contains an informal contract whose contents are known only to the parties

Q: Which of the following is a necessary condition for a contract to be considered valid? A) It can be voided by both parties. B) It can be voided by one of the parties. C) It is enforceable by both the parties. D) It is enforceable by at least one of the parties.

Q: Ben was talking to Harry who was drunk. Harry agreed to give his car to Ben as a token of friendship. Once sober, Harry asks Ben to return his car. This contract is considered ________. A) valid B) voidable C) void D) unenforceable

Q: An offeror uses blackmail to make an offeree sign a contract that involves the sale of the offeree's house. The contract is ________. A) unenforceable B) valid C) void D) voidable

Q: If a contract is required to be in writing under the Statute of Frauds but is not, the contract is ________. A) voidable B) void C) unenforceable D) valid

Q: Contracts that have been fully performed by one side but not by the other are classified as ________ contracts. A) void B) voidable C) executory D) executed

Q: Elizabeth signs a contract to purchase a new car from Spadace Motors. She has not yet paid for the car and Spadace Motors has not yet delivered the car to Elizabeth. This is an example of a(n) ________ contract. A) unenforceable B) executory C) void D) executed

Q: A contract is ________ if the offeror's offer can be accepted only by the performance of an act by the offeree. A) executed B) executory C) unilateral D) bilateral

Q: Yvonne finds a carpenter to do some repairs for her house and tells him that if he finishes the job within Saturday, she would pay him $1,000. This offer creates a(n) ________ contract. A) executed B) unilateral C) executory D) bilateral

Q: Martha contacts a bakery to get a cake for her son's birthday party. She tells the baker that she will pay him $150 for the cake if he delivers the cake on Friday evening. If the baker does not deliver the cake on Friday evening, which of the following will hold true? A) Martha can sue the baker but cannot recover damages. B) Martha can sue the baker to recover $150 in damages. C) Martha cannot sue the baker. D) The baker has to give $150 plus cost of the replacement cake to Martha as he entered into a verbal contract with her.

Q: Alan tells Sherry that he will pay her $5,000 if she runs the Boston Marathon. Once Sherry starts running the marathon, Alan, legally, ________. A) can revoke the contract as informal verbal agreements are not binding B) can reduce the money on offer C) can only increase the money on offer D) cannot revoke the contract

Q: Which of the following is an informal contract? A) recognizance B) lease C) bank draft D) check

Q: A contract is ________ if the offeror's promise is answered with the offeree's promise of acceptance. A) executory contract B) executed contract C) unilateral contract D) bilateral contract

Q: Windsor, the owner of Windsor's Sandwiches contacts a new supplier Gary. He tells Gary that he will pay him $375 if Gary delivers 20 pounds of cheese the following morning. Gary promises to make the delivery as requested by Windsor. This creates a ________ contract between them. A) bilateral B) unilateral C) executory D) implied-in-law

Q: An unconscionable contract cannot be enforced even if the unconscionable clause is removed from it.

Q: The UCITA is a law common to all states and does not require state legislatures to adopt it as a statute for the state.

Q: Which of the following is an acceptable consideration for a contract? A) penalty B) arrest C) sentence D) money

Q: Two brothers, Sam and Jim, were fighting over the division of their ancestral property. After ten years of legal battle, a frustrated Sam contacted a powerful politician who subjected Jim to extreme duress to make him sign a contract of assent in favor of Sam. When Jim takes this contract to court, the contract will be declared ________. A) voidable B) enforceable C) conditionally enforceable D) unenforceable

Q: A person who has dealt with an insane person need not place that insane person in status quo once the contract is voided.

Q: A person who is insane but not adjudged insane cannot void a contract he or she has entered into.

Q: A person who disaffirms a contract based on intoxication must be returned to status quo.

Q: The intoxicated person is not legally obligated to return consideration, received under the contract, to the competent party.

Q: An exculpatory clause that results from superior bargaining power is usually found to be void.

Q: A contract is considered to be supported by legal value if the promisee receives a legal benefit.

Q: Illusory promises require both parties to perform their contractual obligations.

Q: Preexisting duty promise is unenforceable because of the introduction of a new consideration.

Q: A new promise can include a past consideration for it to be enforceable.

Q: The infancy doctrine binds an adult to the minor's decision on a contract.

Q: The infancy doctrine gives adults the right to disaffirm contracts entered with minors.

Q: Any contract entered into by a person who has been adjudged insane is void.

Q: A counteroffer is considered a rejection of the original offer.

Q: An option contract is terminated upon the death of the offeror.

Q: To meet the mirror image rule, the offeree must accept the terms of the offer without modification.

Q: Under the mailbox rule, an acceptance is only effective when it is received.

Q: A promise is something of legal value given in exchange of a consideration.

Q: To create an implied-in-fact contract, it must be established that the plaintiff provided the property or services gratuitously.

Q: An implied-in-law contract is a contract in which agreement between parties has been inferred from their conduct.

Q: Unless otherwise expressly stated, an auction is considered an auction without reserve.

Q: In auction without reserve, the seller is the offeree.

Q: A rejection of an offer is not effective until it is actually received by the offeror.

Q: An offer to create a unilateral contract cannot be accepted by a promise to perform.

Q: An offer to create a unilateral contract can be revoked by the offeror any time prior to the offeree's performance of the requested act.

Q: In a recognizance, a party acknowledges in court that he or she will pay a specified sum of money if a certain event occurs.

Q: A voidable contract is also termed as an unenforceable contract.

Q: A contract that has been fully performed by both sides is called an executory contract.

Q: An express contract can be stated orally.

Q: A unilateral contract can be accepted without the performance of an act by the offeree.

Q: The infancy doctrine allows minors to ________ contracts they have entered into with adults.

Q: The ________ establishes uniform legal rules for the formation and enforcement of electronic contracts and licenses.

Q: Provision of services qualifies as "consideration" for an enforceable contract.

Q: A contract is bilateral contract if the offeror's promise is answered with the offeree's promise of acceptance.

Q: An act of performance is necessary to create a bilateral contract.

Q: The ________ rule states that the offeree must accept the terms of an offer as stated in the offer.

Q: A(n) ________ is a contract in which the original offeree pays consideration (usually money) in return for the original offeror giving consideration (time of the option period).

Q: ________ is something of legal value given in exchange for a promise.

Q: A contract into which parties enter, but where one or both of the parties can choose not to perform their contractual obligations, is said to involve ________ promises.

Q: A contract is said to be ________ where one or both parties has the option to void the contractual obligations.

Q: A(n) ________ is an equitable doctrine whereby a court may award monetary damages to a plaintiff for providing work or services to a defendant even though no actual contract existed.

Q: An offeror can ________ an offer by withdrawing an offer prior to its acceptance.

Q: A(n) ________ is a response by an offeree that contains terms and conditions different from, or in addition to, those of the offer.

Q: Under the mailbox rule, an acceptance is effective when ________.

Q: A(n) ________ contract is a contract that has not been fully performed by either or both sides.

Q: A(n) ________ contract is a contract entered into by a way of exchange of promises of the parties, a "promise for a promise."

Q: A contract where agreement between parties has been inferred from their conduct is referred to as a(n) ________ contract.

Q: A(n) ________ contract is only valid once the offeree performs the requested act.

Q: What are the possible problems that can come up in a unilateral contract?

Q: Compare valid, void, voidable and unenforceable contracts.

Q: Give an account of termination of offer due to lapse of time.