Exam 7: The Essentials of Contract Law

Article 2 of the ________ is a model set of laws designed to govern the sale of goods in commercial transactions in the United States.

Fraser entered into a written contract with the Plastica Company to purchase 100 plastic black bats for a Halloween party he was hosting.The terms of the contract called for Plastica to deliver all 100 bats by October 25.On October 20,Fraser received from Plastica 85 plastic bats and 15 paper red bats.A letter accompanying the shipment stated,"We no longer make plastic black bats.For the inconvenience,we will charge you 15 percent less than the price we originally agreed upon." Was the contract between Fraser and Plastica an executed contract? Explain.

Law mercantilism is a complex,adaptive system of overlapping economic agents that operates on the basis of competition and a regulated market that responds to the movement of supply and demand.

Donita,34,and Terry,25,enter into a contract which stipulates that Donita will allow Terry to occupy her apartment for six months,beginning next month.Terry has agreed to pay a rent of $100 per month.Discuss the elements that make this contract legally binding for Terry and Donita.

A(n)________ contract is implied by the direct or indirect acts of the parties.

Gregory sells his land to Tim.Under the Statute of Frauds,Gregory and Tim must have an oral contract to be enforceable in the court of law.

The doctrine of ________ restricts a party from denying that a promise was made under certain conditions,even though consideration has not been exchanged to bind an agreement.

To be enforceable under the Statute of Frauds,a:

When contracting parties accept mutual obligations through oral discussion,they have created a quasi-contract.

Georgia purchases what proves to be a defective product from ZBest Enterprise to give to her best friend,Sarah,on her birthday.Georgia refuses to take legal action against ZBest because she is afraid of confrontation.Sarah,wanting to help Georgia,and angry at ZBest,wants to sue ZBest.Discuss the options Sarah has to sue the company.

Mark was speeding on the highway when he and John had a car accident and suffered serious head injuries.As a result,John's memory was affected,and he could not remember any of the incidents on the day of the crash,including the fact that Mark's rash driving caused the car crash.At the hospital,Mark,who suffered minor injuries,convinces John that the crash was no one's fault and just bad luck.John is empathetic and signs a contract with Mark stating that neither party would sue the other for damages.However,Lily,who was with John in the car and was also injured,knows that Mark was responsible and challenges the contract in court,in addition to filing a lawsuit against Mark.Analyze the case.

Void contracts,such as those contracts entered into with a minor,may be avoided or canceled by either of the parties.

Charleen goes to Big Basket Supermarket and fills her cart with food,pushing it up to a checkout line.Discuss the type of contract between Charleen and Big Basket that would obligate Charleen to pay for the food prior to leaving Big Basket,even if Charleen and the clerk never say a word to each other.

Webtel Services,Inc.and Acme Co.sign a document which states that Webtel Services will create a web page for Acme and that Acme will pay for this work.This is an example of a:

Ruben promises to pay Talana $200 if she steals Jessica's business law textbook.Talana steals the business law book,but Ruben,who now feels guilty for his act,refuses to pay Talana and asks her to return the book.Discuss ways in which Reuben has breached the contract.

Matrix,Inc.contracts with Smalltown Economic Development Corp.to build a factory in Smalltown that will employ 1,000 workers from Smalltown.Matrix later breaches this contract,and Smalltown citizens who were expecting to be employed sue Matrix for breach of its contract.Smalltown citizens' best argument for damages involves the legal doctrine of:

A(n)________ contract does not exist,but is imposed by the court as an equitable remedy in the interests of fairness and justice.

Emerson,a wealthy man,has a special seal made that contains his family crest and motto.Emerson places the seal impression next to his name on every contract that he signs in order to prove that other contracts containing a signature without the impression are forgeries.Discuss the type of contract Emerson makes.

Kayla creates a unilateral contract when she promises Sam to give up her right to sue him in exchange for a cash payment.

Henrietta offers a $500 reward for the return of Fifi,her lost dog.Silas finds and returns the dog.This is an example of a(n):