Exam 12: Defenses to Contract Enforceability

Under the Statute of Frauds,oral contracts are void.

A contract must be in writing to be enforceable unless its performance is impossible within one year.

Misrepresentation of an opinion is an element of fraud.

Theo and Uma orally agree on the sale of Theo's Fitness Center to Uma and note the terms on a sheet of the center's stationery,which includes the Center's letterhead but which neither party signs.This agreement is most likely enforceable against

Misrepresentation of a material fact cannot occur through conduct alone.

Olin convinces Pia,who has no artistic ability,that Pia has considerable talent and induces Pia to pay Olin $10,000 for art lessons.When Pia realizes the truth,she files a suit against Olin.Pia is most likely to recover on the basis of

A party's oral agreement to pay another's debt is never enforceable.

Uri and Vicky orally agree on the sale of Uri's Nite Club to Vicky and note terms on a pair of the Club's napkins,which they both sign.A written memorandum evidencing an oral contract that would otherwise be unenforceable must contain

A contract entered into under duress is voidable.

Fact Pattern 12-4 (Questions 34-35 apply) Kelly and Lucas sign a written contract for the sale of Kelly's Koffee Kiosk to Lucas. The parties intend their written contract to be a final statement of the terms of their agreement. -Refer to Fact Pattern 12-4.Lucas later disputes some of the provisions of the deal with Kelly.If the dispute results in litigation,a court will most likely exclude evidence that

To recover for fraud,a plaintiff must be under twenty-one years of age.

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

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

Nina and Owen enter into an oral contract for Nina's sale to Owen of a laser printer for $400.Before Owen takes possession of the printer,the contract is enforceable by

Scienter exists if a party makes a statement that he or she does not believe is true.

Ollie buys a cup of coffee for $2,a magazine for $5,and a boombox for $600.The requirement of a writing for the enforceability of a contract for a sale of goods at,or for more than,a certain price is governed by

Fact Pattern 12-2 (Questions 5-6 apply) Grover contracts to sell two tracts of land to Hank. Both parties believe that the two tracts are adjacent, but in fact they are not. Grover is still willing to sell the land, but under these circumstances the deal would adversely affect Hank. -Refer to Fact Pattern 12-2.The parties' belief about the adjacency of the property is

An innocent party may seek damages for a fraudulent contract.

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

Reliance on a misrepresentation is justified if the misrepresentation is an obviously extravagant statement.