Exam 16: The Form and Meaning of Contracts

The U.N. Convention on the International Sale of Goods has decided that a writing is:

A clothing store has opened a credit account in which Judy, a college student, gets Alice, her older sister, to agree to pay the amount owed on the account if Judy fails to do so. Which of the following statements is true of this scenario?

A publisher makes an oral deal with an author, where the author agrees to write a new "Introduction to Marketing" book. They agree that the book is due in two years. In this scenario, the contract is most likely to be _____.

If two parties used a form contract, and one of the parties drafted the contract, ambiguities are resolved against the party who drafted the contract.

The parol evidence rule refers to the:

In most states, the statute of frauds makes oral contracts that come within its provisions void or voidable, not unenforceable.

In an insurance contract, if one of the two parties involved drafted a contract, _____.

Fernando is the owner of Pick Food Restaurant. He makes an oral agreement with Purple Lotus Works for the design and production of 5,000 unique custom-made dinner plates with the logo of Pick Food Restaurant on them. Purple Lotus reworks its production schedule and creates dies to add Pick Food Restaurant's logo in the designer plates. A week later, Fernando calls Purple Lotus and says that he no longer wants the plates and calls off the deal. In this scenario, it is most likely that:

According to the Uniform Commercial Code (UCC), if goods are specially manufactured for the buyer and not suitable for sale to others in the normal course of the seller's business, and the seller has made a substantial beginning in manufacturing them or has entered into a binding agreement to acquire them for the buyer before learning that the buyer is denying the existence of a contract, the contract between the parties must be in writing in order to be enforceable.

Which of the following is true of collateral contracts?