Exam 13: Introduction to Contracts

Tulume argues with Brenda that the law of contracts is primarily statutory law. Is he correct?

[Book Sale] Yasmeen offered to sell Dylan a used business law book for $50. She told him that he could use it in his upcoming business law class the next semester. However, there was a problem with the book; it was several editions old. Dylan was not aware of that fact, and neither was Yasmeen. When Dylan took the book to class and realized the problem, he went back to Yasmeen requesting a refund. Yasmeen refused to return his money. She claimed that she did not commit fraud because subjectively she thought that the book was correct, and that a binding contract existed. The book, however, is outdated and cannot be appropriately used in the class. -Which of the following describes Dylan's role in the transaction?

If a[n] ________ misunderstanding between the parties exists, and as a result of that misunderstanding the parties do not really come to a meeting of the minds, there is no contract.

Bilateral contracts are a promise plus a requested action.

Section 29 of the contract which states, "Pigment may be redesigned at any time." -Flo claims that pink was proper under Section 29, and any court would interpret the contract in Flo's favor. Would Section 29 likely be enforced?

Today's law of contracts originated from judicial decisions in ________.

Contract law comes from case law, the Uniform Commercial Code and the United Nations Convention for the International Sale of Goods.

In In Re Zappos.com Inc., Customer Data Security Breach Litigation, the case in the text in which customers of Zappos claimed that they were not bound to an arbitration agreement contained in a contract with Zappos, what was the result of the case?

[Book Sale] Yasmeen offered to sell Dylan a used business law book for $50. She told him that he could use it in his upcoming business law class the next semester. However, there was a problem with the book; it was several editions old. Dylan was not aware of that fact, and neither was Yasmeen. When Dylan took the book to class and realized the problem, he went back to Yasmeen requesting a refund. Yasmeen refused to return his money. She claimed that she did not commit fraud because subjectively she thought that the book was correct, and that a binding contract existed. The book, however, is outdated and cannot be appropriately used in the class. -Which of the following would describe Yasmeen's role in the transaction?

All contracts can be categorized as either ________ or ________.

The legal ability to enter into a binding agreement is known as what?

Which of the following was the result on appeal in Reisenfeld & Co. v. The Network Group, Inc.; Builders Square, Inc.; Kmart Corp., the case in the text involving whether the plaintiff could recover from BSI in the situation in which BSI contracted with Network Group to lease property, and Network Group contracted with the plaintiff agreeing to pay a certain commission for his work but then defaulted on the contract?

Which of the following is not a negotiable instrument?

Section 29 of the contract which states, "Pigment may be redesigned at any time." -Serena tells Flo that any judge would find that the contract calls for purple flowers, and that Flo breached the contract by providing pink flowers instead of purple. Is she correct?

Define a bilateral contract and a unilateral contract, and give an example of each.

[Refusal to Pay] Business law teacher Allison needed some yard work done. She told her class that she would give $50 to the first person who mowed her yard. She also entered into an agreement with Karina who agreed to trim some shrubbery for $40. Another student, Brendan, went to mow Allison's yard. Unfortunately, just as he finished mowing, a neighborhood dog bit him, and he had to go to the emergency room for a couple of stitches. Allison refused to pay Brendan because she said that he had upset the neighbors and their dog, and that he was more trouble than he was worth. Secretly, Allison was glad about the dog bite because she felt it gave her a reason not to pay. Brendan refused to pay the emergency room because he said that they did not have a binding, bilateral contract. Karina refused to trim the shrubbery because she got a better offer and claimed that she was not bound on the contract until she started the work. -Which of the following is correct regarding Karina's statement that there was no contract?

Due to increasing globalization, the International Commercial Code is important to contract law.

[Dog Training] Nia and Bruno enter into a written contract for Bruno to train Nia's dog. Under the contract, Nia is required to pay Bruno $20 for each training session. -Bertrand sends an email to Lowell asking him if he would like to co-author a book. Lowell agrees and requests a $10,000 advance for the first three chapters. Bertrand sends him the money. Classify the contract.

Marshall promises to smuggle illegal drugs for Thor across the border. What is the effect of this contract?

Section 29 of the contract which states, "Pigment may be redesigned at any time." -Serena claims the contract is not valid because she only typed her name onto an electronic form and she did not "sign" any contract. Is she correct?