Exam 7: The Terms of a Contract

Identify the terms that are required to be present in a commercial contract in order for it to be considered complete.Identify any additional clauses that could provide additional benefits through their inclusion.

In what way are a click-wrap agreement and a browse-wrap agreement different from one another?

What must be present in order for a condition subsequent to be recognized as legally enforceable?

Marty has made his acceptance of an offer to purchase his house subject to his lawyer's approval.Why did Marty's lawyer advise him that it was essential for him to do so?

Under what circumstances might a court refuse to invoke the application of the parol evidence rule?

What is the legal term given to a clause that makes a contract enforceable against a buyer only if the buyer is able to secure a satisfactory building inspection?

The courts will not imply a duty to act in good faith in commercial contracts.

What is one of the drawbacks of the parol evidence rule?

What is meant by the term "contractual quantum meruit"?

Is there an implied obligation of good faith on parties to a contract? Explain.

The court may refuse to uphold a liquidated damages clause if its purpose is to punish.

Sheps & Shaps LLP signed a one-year contract under which it was to receive a weekly delivery of 10 cartons of 8 x 11 bond paper and 5 cartons of 11 x 14 bond paper for a monthly fee of $700.The contract expired two months ago,but Sheps & Shaps continued to accept two additional deliveries.Given these circumstances,which of the following statements is true?

What is the legal term given to a provision in a contract whereby the parties agree in advance the amount to be paid in the event of a contract breach?

It can be very difficult to predict how a court will interpret any given contract because the principles for interpreting the rules of a contract are guided by conflicting rules of construction.

OrganicFoods Inc.enters into a contractual supply arrangement with EcoGrow Inc.EcoGrow contractually promises to supply two tons of organic carrots by May 1,providing carrots will be available.If EcoGrow does not supply the carrots as agreed,how will a court view EcoGrow's obligation to OrganicFoods to do so?

Some Canadian courts have ruled that a good faith clause is not an automatic term of every contract and can be implied only when it is consistent with the parties' intentions.

What would a court have to find in order to require the judge to limit the scope of the court's examination of the evidence to expressed contractual obligations?

Which if the following is a distinguishing characteristic of a "condition precedent"?

What is the term given to the guiding principles for interpreting the terms of a contract?

Identify and briefly describe the situations in which the court will disregard the parole evidence rule and consider evidence outside the contract.