Exam 5: Elements of Contracts, E-Commerce and Technology

Jill has been negotiating the purchase of a speedboat with Sandi for the last two weeks. Two days ago, she emailed Sandi, saying "I won't go any higher than $8,000 and that includes the trailer. Take it or leave it, but that's my final offer." Sandi sent an email the same day that said "I will accept $8,000, but not including the trailer." There is a contract between Jill and Sandi.

Under the Electronic Commerce Act, acceptance occurs when the offeree sends the email.

Which of the following is a requirement for a valid contract?

In business relationships, the courts will presume that parties have an intention to enter into a contact.

An offer is a willingness to form a contract.

Important terms should be expressed in a contract.

There are four (4) requirements to contract formation.

There are no exceptions to the parties' ability to create any enforceable agreement they desire.

All contracts must be in writing.

James offered to sell the vehicle for $20,000 "offer to remains open until noon on Thursday, April 1, 2017." Which one of the following situations will not end the offer?

Express terms are those terms not specifically negotiated by the parties but are implied in the contract.

A contract is formed when there is a meeting of the minds.

Electronic contracts are not required to be in a special format.

Judges may add express terms to a contract to give meaning to the words in the contract.

A gratuitous promise is:

The person receiving an offer is the offeror.

Express terms are those terms negotiated specifically by the parties and specified in the contract.

From a risk management perspective, contracts do not need to be in writing.

Electronic commerce (E-commerce) legislation consists of:

In business relationships, the courts will not presume that parties have an intention to enter into a contract.