Question 1

Many contracts in which part of the consideration is forbearance involve agreements to compete.

Accepted Answer

A) True 
 B)False  False

Question 2

Consideration required in an enforceable contract can take various forms such as exchange of promises,forbearance,and pledges or subscriptions.

Accepted Answer

A) True 
 B)False  True

Question 3

Describe agreements supported by moral consideration.

Accepted Answer

A person is not legally bound to do what he or she may feel obligated to do because of love,friendship,honor,sympathy,conscience,or some other moral consideration.Some courts,however,will enforce some contracts,even though there is no consideration,by stating that there was "moral consideration" or that the contract is socially beneficial.

Question 4

A promise of an act by one party in exchange for the promise of an act by another is also considered a:

Accepted Answer

A)  void contract. 
B)  valid offer and acceptance. 
C)  valid consideration. 
D)  voidable contract. 
A)  void contract. 
B)  valid offer and acceptance. 
C)  valid consideration. 
D)  voidable contract.

Question 5

The law assumes that,as long as no undue pressure is brought to bear,the parties were:

Accepted Answer

A)  free to reject a proposed unfair contract. 
B)  not allowed to enter into another contract. 
C)  bound compulsorily by all the terms of a contracts. 
D)  free to perform an illegal act. 
A)  free to reject a proposed unfair contract. 
B)  not allowed to enter into another contract. 
C)  bound compulsorily by all the terms of a contracts. 
D)  free to perform an illegal act.

Question 6

Contracts based on moral consideration are generally enforceable.

Accepted Answer

A) True 
 B)False

Question 7

The promise to refrain from doing something that a party has a legal right to do,or the promise of inaction,is known as:

Accepted Answer

A)  forbearance. 
B)  consideration. 
C)  general release. 
D)  pledge or subscription. 
A)  forbearance. 
B)  consideration. 
C)  general release. 
D)  pledge or subscription.

Question 8

The obligation to perform acts already required is known as a:

Accepted Answer

A)  pious obligation. 
B)  preexisting duty. 
C)  social obligation. 
D)  contractual duty. 
A)  pious obligation. 
B)  preexisting duty. 
C)  social obligation. 
D)  contractual duty.

Question 9

A ______ is a promise that is generally not a valid consideration and is considered a gratuitous promise,except in cases of moral consideration.

Accepted Answer

A)  gratuitous promise 
B)  past consideration 
C)  barren promise 
D)  onerous contract 
A)  gratuitous promise 
B)  past consideration 
C)  barren promise 
D)  onerous contract

Question 10

The Uniform Commercial Code dispenses with the requirement of consideration in certain contracts that involve a merchant's written firm offer that provides that the contract is irrevocable.

Accepted Answer

A) True 
 B)False

Question 11

If the consideration of not to compete is lacking in an agreement,then the contract is unenforceable.

Accepted Answer

A) True 
 B)False

Question 12

In general,courts do not attempt to judge the adequacy of consideration.

Accepted Answer

A) True 
 B)False

Question 13

A pledge or a subscription,which is a promise to donate money,is unenforceable.

Accepted Answer

A) True 
 B)False

Question 14

Statutes in many states have permitted a person who has a claim against another to give up,or release,his or her claim without an exchange of consideration by making a:

Accepted Answer

A)  written statement to that effect. 
B)  soliloquy to that effect. 
C)  release to that effect. 
D)  complaint to that effect. 
A)  written statement to that effect. 
B)  soliloquy to that effect. 
C)  release to that effect. 
D)  complaint to that effect.

Question 15

The promises exchanged by the parties to a contract,either to give up something of value they have a legal right to keep,such as money or property; to do something they are not otherwise legally required to do,such as performing a service; or to refrain from an action is known as:

Accepted Answer

A)  competence of parties. 
B)  offer and acceptance. 
C)  mutual agreement. 
D)  consideration. 
A)  competence of parties. 
B)  offer and acceptance. 
C)  mutual agreement. 
D)  consideration.

Question 16

Charitable organizations frequently raise money by asking for:

Accepted Answer

A)  discounts. 
B)  bribes. 
C)  gifts. 
D)  pledges. 
A)  discounts. 
B)  bribes. 
C)  gifts. 
D)  pledges.

Question 17

A valid contract may exist even if the consideration is a promise to perform an illegal act,or to avoid performing an act that is legally required to be performed.

Accepted Answer

A) True 
 B)False

Question 18

Courts may justify the enforcement of some contracts,even though there is no consideration,by stating that there was:

Accepted Answer

A)  monetary consideration. 
B)  moral consideration. 
C)  pecuniary consideration. 
D)  fiscal consideration. 
A)  monetary consideration. 
B)  moral consideration. 
C)  pecuniary consideration. 
D)  fiscal consideration.

Question 19

Sometimes the unequal bargaining power of parties to a contract gives one party an unfair advantage when dealing with those who lack the economic power to enter into a contract on an equal footing.

Accepted Answer

A) True 
 B)False

Question 20

What are the characteristics of a valid consideration?

Accepted Answer

There are three essential char

Exam 10: Consideration

Many contracts in which part of the consideration is forbearance involve agreements to compete.

Consideration required in an enforceable contract can take various forms such as exchange of promises,forbearance,and pledges or subscriptions.

Describe agreements supported by moral consideration.

A promise of an act by one party in exchange for the promise of an act by another is also considered a:

The law assumes that,as long as no undue pressure is brought to bear,the parties were:

Contracts based on moral consideration are generally enforceable.

The promise to refrain from doing something that a party has a legal right to do,or the promise of inaction,is known as:

The obligation to perform acts already required is known as a:

A ______ is a promise that is generally not a valid consideration and is considered a gratuitous promise,except in cases of moral consideration.

The Uniform Commercial Code dispenses with the requirement of consideration in certain contracts that involve a merchant's written firm offer that provides that the contract is irrevocable.

If the consideration of not to compete is lacking in an agreement,then the contract is unenforceable.

In general,courts do not attempt to judge the adequacy of consideration.

A pledge or a subscription,which is a promise to donate money,is unenforceable.

Statutes in many states have permitted a person who has a claim against another to give up,or release,his or her claim without an exchange of consideration by making a:

The promises exchanged by the parties to a contract,either to give up something of value they have a legal right to keep,such as money or property; to do something they are not otherwise legally required to do,such as performing a service; or to refrain from an action is known as:

Charitable organizations frequently raise money by asking for:

A valid contract may exist even if the consideration is a promise to perform an illegal act,or to avoid performing an act that is legally required to be performed.

Courts may justify the enforcement of some contracts,even though there is no consideration,by stating that there was:

Sometimes the unequal bargaining power of parties to a contract gives one party an unfair advantage when dealing with those who lack the economic power to enter into a contract on an equal footing.

What are the characteristics of a valid consideration?

Our System of Law

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