Deck 5: Contracts

Question 1

A contract may not be voluntarily entered into in the event of

A)mistake
B)fraud
C)duress
D)any of the above

Answer 1

D

Question 2

Past consideration will not support a contract because it was not bargained for or given in exchange for a promise.

Answer 2

True

Question 3

Under the UCC, an offer may be accepted by any reasonable method.

Answer 3

False

Question 4

Promissory estoppel

A)is an equitable remedy
B)is an alternative to money damages
C)allows a court to bar a certain defense to be raised
D)all of the above

Question 5

Which of the following is a valid consideration?

A)a promise to complete additional work under a construction contract for more money
B)a promise to pay someone $400 if he agrees to stop smoking for a year
C)a promise to pay an unliquidated debt for less than the full amount
D)all of the above

Question 6

A contract which calls for a promise in exchange for a promise is a bilateral contract.

Question 7

An offer is terminated by the death of the offeror.

Question 8

Article 2 of the Uniform Commercial Code applies to contracts for the sale of services or real property.

Question 9

An offer can be revoked prior to acceptance unless it meets the UCC requirements of a firm offer.

Question 10

A contract is voidable only when both of the parties lack the capacity to contract.

Question 11

The Statute of Frauds requires certain contracts to be in writing to be enforceable.

Question 12

A person who lacks the mental capacity to contract may be liable for the reasonable value of necessary items provided to him.

Question 13

Which of the following is not required for a firm offer?

A)a valid consideration
B)a writing signed by a merchant
C)assurances that the offer will be kept open for up to 3 months
D)an offer to sell goods

Question 14

Usury statutes set the amount of time after a breach of contract within which an action must be commenced.

Question 15

An implied method of acceptance is the manner in which the offer is made, and an acceptance communicated in an authorized manner is effective when dispatched.

Question 16

A counteroffer acts as a revocation of an offer.

Question 17

The parol evidence rule allows testimony to vary the terms of a written contract if they are ambiguous terms or subsequent terms.

Question 18

A fully executed contract discharges the parties' obligations under the contract.

Question 19

Consideration includes doing or refraining from that which one has a right to do, even if it has no economic value.

Question 20

An offer is not definite if it contains a condition precedent that must occur before a party is obligated to perform a contract.

Question 21

Which of the following contracts would be unenforceable because of the Statute of Frauds?

A)A written contract that is made up of several documents.
B)A written contract that is signed only by the party against whom enforcement is sought.
C)a contract that is fully performed
D)The Statute of Frauds would not be a defense to these contracts.

Question 22

Patty, a minor of age 16, purchases a car from Larry.One month later, Patty crashes the car, disaffirms the contract and seeks return of the purchase price.Which of the following is most certain?

A)Patty cannot rescind the contract because the car is not able to be returned.
B)Patty owes Larry nothing, because she is a minor.
C)Patty owes Larry the reasonable value of the vehicle because it is a necessary item.
D)none of the above