Exam 11: Nature and Classes of Contracts: Contracting on the Internet

​A contract requires:

Quasi-contractual liability will generally be imposed when the cost of performing a contract is greater than had been expected.

Quasi contracts are fictional contracts.

Negotiable instruments are examples of formal contracts.

An obligation to pay for the reasonable value of services rendered when there is no contract would be called:

A contract under which one or both parties have not yet fully performed is termed a(n):

An executed contract is an agreement that has been completely performed.

​In a bilateral contract, each party will be a promisor and, therefore, each party will:

With regard to a unilateral contract, the offeree does not accept the offer by express agreement, but rather by performance.

An express contract is one in which the agreement is shown by the acts and conduct of the parties.

​A right of __________ refusal is the right of a party to meet the terms of a proposed contract before it is executed, such as a real estate purchase agreement.

The main thrust of the quasi contract is to:

A contract can only involve two parties: the promisor and the obligor.

An agreement arises when one person, the __________, makes an offer and the other person to whom the offer is made, the __________, accepts.

The effect of an implied contract is not the same as the effect of an express contract.

Negotiable instruments are:

An executory contract is an agreement by which something remains to be done by one or both parties.

The Martin family owned a home that was badly in need of repair.Mrs.Martin worked outside the home and Mr.Martin took care of the household responsibilities and cared for the two young Martin children.One day, Mrs.Martin left for work and a home repair crew drove up and began to put aluminum siding on the Martin house.Mr.Martin telephoned his wife, told her, and inquired about whether she had hired the workers.When the Martins realized that they never had ordered this work done, Mr.Martin sneaked out the back with the children.He later met his wife at work and they returned home for dinner.By that time, the entire front of the house had been aluminum-sided.The foreman asked, "Mr.and Mrs.Wolf, how do you like the job?" The Martins replied that they loved the job, but the Wolfs lived next door.When it became clear that the repair crew had made an error, the foreman insisted that the Martins had to pay. a.Decide the case, and explain the reason(s) for your decision. b.Decide the case, assuming that the Martins were away on vacation when the improvements were made, and then returned home to discover the improvements.

A bilateral contract consists of a:

An executory contract is: