Term
|
Definition
|
|
Term
|
Definition
|
|
Term
|
Definition
|
|
Term
|
Definition
| offer, acceptance, consideration, capacity, legality |
|
|
Term
| contracts under the common law: |
|
Definition
| real estate, services, employment contracts |
|
|
Term
|
Definition
| goods, electricity, renting an apartment |
|
|
Term
|
Definition
| if a k is for both goods and services, the k could fall under the UCC or the common law, depending on whether the cost of goods costs more than the cost of services |
|
|
Term
|
Definition
|
|
Term
|
Definition
| the k has all 5 elements and is enforceable in court |
|
|
Term
|
Definition
| k could be voided if one of the parties chooses to do so (pertains to minors or the insane) |
|
|
Term
|
Definition
| the k is missing 1 or more of the elements of a contract and therefore is not enforceable in court |
|
|
Term
|
Definition
|
|
Term
|
Definition
|
|
Term
| contracts can be either _____________ or __________ |
|
Definition
|
|
Term
|
Definition
| a promise for an act; the k begins when the act begins; the offer cannot be revoked after the act has begun. |
|
|
Term
|
Definition
| a promise for a promise; the offeror cannot revoke once the offer is made |
|
|
Term
| the best answer concerning bilateral and unilateral k's is: |
|
Definition
| If the offeror is looking for an act, then the k is unilateral. If the offeror is looking for a promise, then the k is bilateral |
|
|
Term
|
Definition
| written, verbal, pre-printed, real-estate |
|
|
Term
|
Definition
| must be in a particular form (checks) |
|
|
Term
|
Definition
| no specific form is necessary |
|
|
Term
|
Definition
| ks that have been completed, that is , both parties have performed and neither party has any further obligations |
|
|
Term
|
Definition
| contracts that are not completed, that is, one or both parties has not performed their part of the contract |
|
|
Term
| 3 contracts that must be in writing: |
|
Definition
| sale of land, a k that cannot be completed within a year, and the sale of goods over $500 |
|
|
Term
| within the statute of frauds |
|
Definition
| a contract that must be in writing to be enforceable is said to be within the statute of frauds |
|
|
Term
|
Definition
| contracts that are made by the parties expressly stating or writing the k down |
|
|
Term
| implied-in-fact contracts |
|
Definition
| contracts that are made through gestures (nodding, etc.) |
|
|
Term
|
Definition
| contracts that are still binding, despite missing 1 or more elements; used to minimize unjust enrichment |
|
|
Term
|
Definition
| receiving something for nothing |
|
|
Term
|
Definition
| determines whether or not there will be a k, and this power is in the hands of the offeree |
|
|
Term
|
Definition
-the language is definite and certain
-a reasonable 3rd party would be able to tell that both parties meant to enter a k
-the offer is communicated to the offeree |
|
|
Term
| anything that has some elements, but not all the elements of an offer is considered a ________ |
|
Definition
|
|
Term
| language necessary for an offer: |
|
Definition
-"I offer..."
-"I promise to..."
-"I will sell..." |
|
|
Term
|
Definition
| it would appear to a reasonable 3rd party that both parties meant to enter a k |
|
|
Term
|
Definition
| cocktail napkin k to sell farm |
|
|
Term
| large communication medium |
|
Definition
| anything that communicates information to a large number of people simultaneously |
|
|
Term
| the general rule of offer communication is that: |
|
Definition
| offers made on TV, the radio, or in the newspaper are not real offers |
|
|
Term
| 3 exceptions to the general rule |
|
Definition
-limited class of offerees (first # of callers)
-first come, first served
-reward k |
|
|
Term
|
Definition
| price, delivery, quantity, warranty, parties to the k, date of performance, time of delivery, condition of goods, liability, warranty, etc. |
|
|
Term
| terms required for a k under the common law: |
|
Definition
none
*except for Real Estate Contracts, which must contain a description of the property |
|
|
Term
| terms necessary for a k under the UCC: |
|
Definition
quantity
*except in output requirement cases, which allow ks to be made based on all that one might require, use, or produce |
|
|
Term
|
Definition
| if the price, or other term, cannot be decided on, the court will fill the gap |
|
|
Term
|
Definition
|
|
Term
|
Definition
| if the offeree knew or should have known that there was an error in the offer, the offer does not exist |
|
|
Term
| 5 things that can happen after an offer is made: |
|
Definition
acceptance
rejection
revocation
lapse
termination by operation of law |
|
|
Term
|
Definition
| the offer was made but the offeree never responded; after a reasonable amount of time, the offer dies. |
|
|
Term
|
Definition
| a market in which the offer can die within a few minutes; consists of stocks and commodities |
|
|
Term
|
Definition
| gas, oil, coal, beef, orange juice |
|
|
Term
|
Definition
| money is paid by the offeree to keep the offer open |
|
|
Term
| termination by operation of law |
|
Definition
the offer dies because one of the parties dies, goes insane, or what is being sold becomes illegal
*takes place before acceptance has occurred |
|
|
Term
|
Definition
| offeree declines the offer; kills the original offer |
|
|
Term
|
Definition
| rejection that is expressly stated or written |
|
|
Term
|
Definition
| rejection performed by gestures |
|
|
Term
|
Definition
an type of express rejection by which the offeree refuses the original offer, but then offers an alternative
*the power of acceptance is transferred to the original offeror |
|
|
Term
|
Definition
| the offeror takes back the offer BEFORE acceptance |
|
|
Term
| 3 contracts that cannot be revoked |
|
Definition
-unilateral contracts AFTER the act has begun
-option contracts
-Merchant's Firm Offers under 2-205 |
|
|
Term
| Merchant's Firm Offer Under 2-205 |
|
Definition
| the offeror, a merchant, promises in signed writing to keep an offer for the sale of goods open for a certain amount of time |
|
|
Term
|
Definition
| oral, written, letters, email, fax, telegram |
|
|
Term
| rules for acceptance under the common law: |
|
Definition
-the modes of offer and acceptance must match
-mirror image rule (all terms of offer must match all terms of acceptance) |
|
|
Term
| rules for modes of acceptance under the UCC |
|
Definition
|
|
Term
| 2-207 (Battle of the Forms) |
|
Definition
acceptance under the UCC depends on the parties to the transaction
*merchants or non-merchants |
|
|
Term
| 2-207: Rule for non-merchants |
|
Definition
| the acceptance does not have to match the terms of the offer; any new terms in the acceptance become proposals to the k |
|
|
Term
|
Definition
| any new terms become part of the k unless they fall under 1 of the three exceptions |
|
|
Term
| 3 exceptions to the rule of merchants |
|
Definition
-the offeror insisted on a mirror image acceptance
-the offeror objects to the new terms
-the new terms cause a material, economic change to the original offer |
|
|
Term
|
Definition
| is ALWAYS a counter-offer, under the common law or the UCC |
|
|
Term
| 4 theories of consideration |
|
Definition
-bargained-for-exchange
-detrimental reliance/ promissory estoppel
-public policy
-implied-in-law contracts |
|
|
Term
| bargained-for exchange consideration |
|
Definition
-the promise by the promisor induces a legal detriment in the promisee
-the detriment induces the promise
-there is either a benefit to the promisor
-or a legal detriment to the promisee |
|
|
Term
|
Definition
| the promisee is legally bound to do something that he was not previously legally bound to do, or the promisee gives up a right to do something that he previously could legally do |
|
|
Term
| detrimental reliance/promissory estoppel |
|
Definition
the promise induces a detriment in the promisee, but the detriment does not induce the promise
-the reliance must be reasonable, and only 4 states recognize this theory |
|
|
Term
| implied-in-law consideration |
|
Definition
| missing one or more elements, but is used to regulate unjust enrichment |
|
|
Term
| 2 parts of public policy consideration |
|
Definition
-a promise to contribute to charity is enforceable without consideration
-a promise to pay a contract debt barred by the statute of limitations is enforceable |
|
|
Term
|
Definition
the detriment occurs before the promise
*no consideration & no k |
|
|
Term
|
Definition
-if the debt is liquidated, the promise to forgive the balance of a debt is not supported by consideration
-if the debt is unliquidated, the promise to forgive the balance of a debt IS enforceable |
|
|
Term
|
Definition
| when the amount owed for a debt is not in dispute |
|
|
Term
|
Definition
| when the amount owed for a debt is in dispute |
|
|
Term
|
Definition
| there is no detriment, the promisee was already legally bound to do something |
|
|
