Question 1

Distinguish between a void and a voidable contract.

Accepted Answer

A void contract never was a contract and

Question 2

Four days ago, Pete was reading the newspaper and saw the following: "Best offer in town! Zenith XX Laser Printer - $400! When he went to the store this afternoon and said he wanted one, they replied that they didn't have any left, nor could they get one. On these facts, which of the following is true?

Accepted Answer

A)  Pete could sue them for breach of contract because he was accepting the offer in the newspaper. 
B)  The store had revoked the offer before he tried to accept. 
C)  The offer by the store had lapsed before he tried to accept. 
D)  The wording in the newspaper was merely an invitation to the public to do business, and no contract was formed. 
E)  Pete could sue for breach of an option contract. 
A)  Pete could sue them for breach of contract because he was accepting the offer in the newspaper. 
B)  The store had revoked the offer before he tried to accept. 
C)  The offer by the store had lapsed before he tried to accept. 
D)  The wording in the newspaper was merely an invitation to the public to do business, and no contract was formed. 
E)  Pete could sue for breach of an option contract.

Question 3

An ad in the newspaper providing for a reward for a lost dog is an example of an invitation to treat.

Accepted Answer

A) True 
 B)False

Question 4

Which of the following is an offer as opposed to an invitation to treat?

Accepted Answer

A)  An ad in a real-estate paper: "Best offer in Vancouver! 3-bedroom home in Kitsilano for only $850,000!" 
B)  A sweater displayed in the window of a shop with the price tag attached and showing. 
C)  A notice in the Toronto Star: "I will pay $100 to whoever finds and returns my lost female calico cat which answers to the name Marx." 
D)  The display of goods on the shelves of Costco. 
E)  A notice in the catalogue from the gift shop of the Edmonton Aquarium: "15% off the price of all jewellery until January." 
A)  An ad in a real-estate paper: "Best offer in Vancouver! 3-bedroom home in Kitsilano for only $850,000!" 
B)  A sweater displayed in the window of a shop with the price tag attached and showing. 
C)  A notice in the Toronto Star: "I will pay $100 to whoever finds and returns my lost female calico cat which answers to the name Marx." 
D)  The display of goods on the shelves of Costco. 
E)  A notice in the catalogue from the gift shop of the Edmonton Aquarium: "15% off the price of all jewellery until January."

Question 5

A revocation of an offer is effective only when it has been communicated to the offeree.

Accepted Answer

A) True 
 B)False

Question 6

A contract is binding if the consideration involved is a commitment not to do something, as opposed to a promise to do something.

Accepted Answer

A) True 
 B)False

Question 7

A signature equivalent for electronic documents might be a password or some other form of encryption.

Accepted Answer

A) True 
 B)False

Question 8

In contract cases, the court generally

Accepted Answer

A)  does not look to see if the bargain is fair. 
B)  attempts to punish the party in breach of the contract by imposing a sentence. 
C)  will rewrite an agreement for the parties if their existing agreement did not include all the essential terms. 
D)  will enforce all promises. 
E)  will require the recipient of a service to pay a reasonable price where it is determined that the agreed-upon price was too low. 
A)  does not look to see if the bargain is fair. 
B)  attempts to punish the party in breach of the contract by imposing a sentence. 
C)  will rewrite an agreement for the parties if their existing agreement did not include all the essential terms. 
D)  will enforce all promises. 
E)  will require the recipient of a service to pay a reasonable price where it is determined that the agreed-upon price was too low.

Question 9

An acceptance of an offer applies when and where it is received except when it is communicated by telephone.

Accepted Answer

A) True 
 B)False

Question 10

The ad in the Real Estate Weekly read: "Best offer in Toronto! 3-bedroom home in the Annex for only $700,000!" This is an example of which of the following?

Accepted Answer

A)  Invitation to treat 
B)  Legal offer 
C)  Gratuitous promise 
D)  Bilateral contract 
E)  Unilateral contract 
A)  Invitation to treat 
B)  Legal offer 
C)  Gratuitous promise 
D)  Bilateral contract 
E)  Unilateral contract

Question 11

Read the following and indicate which agreement would not be a binding contract because of a problem with the requirement of consideration. Assume all the other requirements for a binding contract have been met.

Accepted Answer

A)  Mr. Kooner sold a farm valued at $190,000 to his nephew for only $50,000. 
B)  Peter agreed to pay Ace Computers Ltd. $50 above the contract price if the company would have his new computer ready ten days earlier than the date specified in the original contract. 
C)  John, late for work, found his car battery was dead. He flagged down a passing truck and told the driver he would pay him $8 if he would agree to do him the favour of jump-starting the car. The driver of the truck agreed. 
D)  Len agreed to sell and Karen agreed to buy four of Len's records for "some money." 
E)  Mary promised in writing and under seal to give Planned Parenthood a donation of $100. 
A)  Mr. Kooner sold a farm valued at $190,000 to his nephew for only $50,000. 
B)  Peter agreed to pay Ace Computers Ltd. $50 above the contract price if the company would have his new computer ready ten days earlier than the date specified in the original contract. 
C)  John, late for work, found his car battery was dead. He flagged down a passing truck and told the driver he would pay him $8 if he would agree to do him the favour of jump-starting the car. The driver of the truck agreed. 
D)  Len agreed to sell and Karen agreed to buy four of Len's records for "some money." 
E)  Mary promised in writing and under seal to give Planned Parenthood a donation of $100.

Question 12

Which of the following statements regarding online transactions is False?

Accepted Answer

A)  Conducting transactions online negates the need to satisfy the normal requirements of a contract. 
B)  It is unlikely that the courts will extend the postbox rule to apply to online transactions. 
C)  Legislation has been passed in some jurisdictions to make electronic documents equivalent to written ones. 
D)  Reasonableness of terms can affect the enforceability of electronic contracts. 
E)  Clicking an "I Accept" button may constitute valid acceptance of the terms of an agreement. 
A)  Conducting transactions online negates the need to satisfy the normal requirements of a contract. 
B)  It is unlikely that the courts will extend the postbox rule to apply to online transactions. 
C)  Legislation has been passed in some jurisdictions to make electronic documents equivalent to written ones. 
D)  Reasonableness of terms can affect the enforceability of electronic contracts. 
E)  Clicking an "I Accept" button may constitute valid acceptance of the terms of an agreement.

Question 13

Explain the principle of promissory estoppel and how it relates to the requirement of consideration in contract law. In your answer, explain any limitations on its availability.

Accepted Answer

Here students are expected to show an un

Question 14

When the parties agree to pay the "market value" of an item, or when some other objective method or formula for pricing a product at some time in the future is used, the consideration is calculable and is thus sufficiently specific to be binding.

Accepted Answer

A) True 
 B)False

Question 15

Joe was a contractor and hired subtrades to help build his houses. Sam was a framer and had agreed to frame four houses for Joe for a set price. Joe was to supply the materials. After two houses were completed, Joe's suppliers increased the cost of lumber and Joe told Sam that he could no longer pay him the amount that they'd agreed. Sam agreed to take 15% less for the other two jobs, which were then completed. During this time, regular payments were made from Joe to Sam, but the total amount received was 15% lower than the originally agreed on price for the last two jobs. Sam sued Joe for the original contract price, claiming that he'd received no consideration for his agreement to take less for the last two jobs. Explain what defences may be available to Joe under these circumstances and his likelihood of success.

Accepted Answer

Joe could use promissory estoppel as his

Question 16

Even though a person promises to hold an offer open for a specified period of time, the offeror can revoke that offer before that time if he feels like it.

Accepted Answer

A) True 
 B)False

Question 17

A binding contract that will subsequently be put into a more formal document is known as ________.

Accepted Answer

an interim

Question 18

From the point of view of consideration, would there be an issue if an off-duty police officer were hired to provide security services?

Accepted Answer

Such a contract would likely b

Question 19

Which of the following is False with regard to contract law?

Accepted Answer

A)  An exchange of promises can be consideration adequate to form a contract. 
B)  To form a contract, there must be an offer that is accepted unconditionally. 
C)  A contract for a $50,000 boat does not have to be evidenced in writing to be a valid contract. 
D)  A contract is unenforceable if it is required to be evidenced in writing under the Statute of Frauds and is not. 
E)  The parties to a contract can always go to court and have the court declare a contract void if the consideration is not adequate (i.e. fair), even if there is no evidence of fraud, duress, undue influence, or mental incapacity. 
A)  An exchange of promises can be consideration adequate to form a contract. 
B)  To form a contract, there must be an offer that is accepted unconditionally. 
C)  A contract for a $50,000 boat does not have to be evidenced in writing to be a valid contract. 
D)  A contract is unenforceable if it is required to be evidenced in writing under the Statute of Frauds and is not. 
E)  The parties to a contract can always go to court and have the court declare a contract void if the consideration is not adequate (i.e. fair), even if there is no evidence of fraud, duress, undue influence, or mental incapacity.

Question 20

Which one of the following will not end an offer?

Accepted Answer

A)  The offer is said to be open for 3 weeks and the 3 weeks expire. 
B)  The offeror dies. 
C)  The offeree makes a counter offer. 
D)  The offeror communicates a revocation of the offer. 
E)  The offeror sells the goods being offered to someone else. 
A)  The offer is said to be open for 3 weeks and the 3 weeks expire. 
B)  The offeror dies. 
C)  The offeree makes a counter offer. 
D)  The offeror communicates a revocation of the offer. 
E)  The offeror sells the goods being offered to someone else.

Distinguish between a void and a voidable contract.

An ad in the newspaper providing for a reward for a lost dog is an example of an invitation to treat.

Which of the following is an offer as opposed to an invitation to treat?

A revocation of an offer is effective only when it has been communicated to the offeree.

A contract is binding if the consideration involved is a commitment not to do something, as opposed to a promise to do something.

A signature equivalent for electronic documents might be a password or some other form of encryption.

In contract cases, the court generally

An acceptance of an offer applies when and where it is received except when it is communicated by telephone.

The ad in the Real Estate Weekly read: "Best offer in Toronto! 3-bedroom home in the Annex for only $700,000!" This is an example of which of the following?

Read the following and indicate which agreement would not be a binding contract because of a problem with the requirement of consideration. Assume all the other requirements for a binding contract have been met.

Which of the following statements regarding online transactions is False?

Explain the principle of promissory estoppel and how it relates to the requirement of consideration in contract law. In your answer, explain any limitations on its availability.

When the parties agree to pay the "market value" of an item, or when some other objective method or formula for pricing a product at some time in the future is used, the consideration is calculable and is thus sufficiently specific to be binding.

Even though a person promises to hold an offer open for a specified period of time, the offeror can revoke that offer before that time if he feels like it.

A binding contract that will subsequently be put into a more formal document is known as ________.

From the point of view of consideration, would there be an issue if an off-duty police officer were hired to provide security services?

Which of the following is False with regard to contract law?

Which one of the following will not end an offer?

Managing Your Legal Affairs

Introduction to the Legal System

The Resolution of Disputes: the Courts and Alternatives to Litigation

Intentional Torts and Torts Impacting Business

Negligence, Professional Liability, and Insurance

The Elements of a Contract: Capacity, Legality, and Intention

Factors Affecting the Contractual Relationship

The End of the Contractual Relationship

Agency and Partnership

Corporations

Employment

Intellectual Property

Real and Personal Property and Protection of the Environment

Priority of Creditors

Sales and Consumer Protection

Filters

Exam 6: The Elements of a Contract: Consensus and Consideration

Distinguish between a void and a voidable contract.

An ad in the newspaper providing for a reward for a lost dog is an example of an invitation to treat.

Which of the following is an offer as opposed to an invitation to treat?

A revocation of an offer is effective only when it has been communicated to the offeree.

A contract is binding if the consideration involved is a commitment not to do something, as opposed to a promise to do something.

A signature equivalent for electronic documents might be a password or some other form of encryption.

In contract cases, the court generally

An acceptance of an offer applies when and where it is received except when it is communicated by telephone.

The ad in the Real Estate Weekly read: "Best offer in Toronto! 3-bedroom home in the Annex for only $700,000!" This is an example of which of the following?

Read the following and indicate which agreement would not be a binding contract because of a problem with the requirement of consideration. Assume all the other requirements for a binding contract have been met.

Which of the following statements regarding online transactions is False?

Explain the principle of promissory estoppel and how it relates to the requirement of consideration in contract law. In your answer, explain any limitations on its availability.

When the parties agree to pay the "market value" of an item, or when some other objective method or formula for pricing a product at some time in the future is used, the consideration is calculable and is thus sufficiently specific to be binding.

Even though a person promises to hold an offer open for a specified period of time, the offeror can revoke that offer before that time if he feels like it.

A binding contract that will subsequently be put into a more formal document is known as ________.

From the point of view of consideration, would there be an issue if an off-duty police officer were hired to provide security services?

Which of the following is False with regard to contract law?

Which one of the following will not end an offer?

Managing Your Legal Affairs

Introduction to the Legal System

The Resolution of Disputes: the Courts and Alternatives to Litigation

Intentional Torts and Torts Impacting Business

Negligence, Professional Liability, and Insurance

The Elements of a Contract: Capacity, Legality, and Intention

Factors Affecting the Contractual Relationship

The End of the Contractual Relationship

Agency and Partnership

Corporations

Employment

Intellectual Property

Real and Personal Property and Protection of the Environment

Priority of Creditors

Sales and Consumer Protection

Filters