Exam 10: Defenses to Contract Enforceability

Gina induces Hugh to enter into a contract for the purchase of a condominium about which Gina knowingly misrepresents a number of material features.When Hugh discovers the truth,he can

Elle buys a new textbook for $100 and a used car for $5,000,and signs a one-year lease for an apartment for $1,000 monthly rent to start at the beginning of the next month.The Statute of Frauds covers

Consumer Goods,Inc. ,and Delta Distribution,Inc. ,sign a written contract for a sale of goods.To be enforceable,this written contract must include

Under the Statute of Frauds,oral contracts are void.

A contract involving property of any kind must be in writing to be enforceable.

Lem buys a used MP3 player for $50 and a new laptop for $1,500,and signs a one-year employment contract for a $4,000 monthly salary to start at the beginning of the next month.The Statute of Frauds covers

A contract entered into under duress is voidable.

A contract involving a sale is the only contract relating to an interest in land that must be in writing to be enforceable.

Fact Pattern 10-3 Odell and Paula sign a contract for the sale of Odell’s Pizza Parlor to Paula. The parties intend their written contract to be a final statement of most, but not all, of the terms of their agreement—Odell must first buy the building from Quin, after which Odell and Paula will negotiate a final price. -Refer to Fact Pattern 10-3.The writing that Odell and Paula signed is

Macro Marketing,Inc. ,and National Food Corporation (NFC)discuss the terms of a contract.Macro faxes NFC a memo on Macro's letterhead that summarizes the items on which they agree.NFC begins to perform,but Macro refuses to pay.Between Macro and NFC,the memo is

Joy induces Kelly to enter into a contract for the purchase of a condominium about which Joy knowingly misrepresents a number of material features.When Kelly discovers the truth,Kelly can

Multi Investments,Inc. ,offers to buy Nano Toy Corporation.On May 1,Nano provides copies of its financial statements for the previous year,showing an inventory of $10 million.On May 15,Nano discovers that the previous year's inventory is overstated by $5 million,but does not inform Multi.On June 1,Multi,relying on the financial statements,buys Nano.On June 10,the buyer discovers the inventory overstatement.Can Multi succeed in a suit against Nano for fraud?

Fact Pattern 10-1 Moore Properties, Inc., offers in writing to sell to Lawn Acres Development Corporation a certain half-acre of land for “$112,000.” After Lawn Acres signs the offer in acceptance and returns it, Moore discovers that the price should have been stated as “$121,000.” -Refer to Fact Pattern 10-1.The effect of Moore's misstatement of the price will most likely fall on

Under the Statute of Frauds,all written contracts are enforceable.

Ralph offers to sell Sophie,who is seventeen years of age,a car about which Ralph intentionally misrepresents several material facts.In reliance on the misrepresentations,Sophie buys the car.To prove fraud in this transaction,Sophie would have to show that

Delta,Inc. ,agrees to assume a debt of Excel Company to First State Bank.The agreement is not in writing.To be enforceable,the promise must be for the benefit of

Under the Statute of Frauds,all contracts induced by fraud must be in writing to be enforceable.

An innocent party can enforce a fraudulent contract.

Oral evidence of otherwise clear terms in a contract can be introduced at a trial to contradict those terms.

To be enforceable,a contract for a sale of goods priced at $50 or more must be in writing.