Deck 14: Written Contracts

Question 1

Under the Statute of Frauds, a contract involving an interest in land must be oral or written to be enforceable.

Answer 1

False

Question 2

All collateral promises must be in writing to be enforceable.

Answer 2

False

Question 3

A unilateral promise to pay a sum of money or to give property in consideration of a promise to marry must be in writing.

Answer 3

True

Question 4

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

Question 5

A fixture is personal property attached to real property in such a way that it is a part of that real property.

Question 6

A contract must be in writing to be enforceable if it cannot by its terms be performed within one year from the day after the contract's formation.

Question 7

The primary purpose of the Statute of Frauds is to ensure that all parties to a contract understand all of the terms of the contract.

Question 8

A contract for the sale of land does not ordinarily involve the entire interest in the real property, such as buildings, growing crops, vegetation, timber, and fixtures.

Question 9

Under the Statute of Frauds, certain contracts must be in writing to be enforceable.

Question 10

Sales contracts for goods priced at $500 or more must be in writing to be enforceable.

Question 11

An agreement subject to the Statute of Frauds must be written on paper.

Question 12

The Statute of Frauds operates as a defense to the enforcement of an oral contract for the sale of land.

Question 13

A contract in which a party assumes a primary obligation must be in writing to be enforceable.

Question 14

A primary obligation is a promise to pay another's debt only if that party fails to pay.

Question 15

For a particular contract to fall under the one-year rule, the parties must subjectively believe that its performance is impossible to complete within a year.

Question 16

Prenuptial agreements made in consideration of marriage need not be in writing to be enforceable.

Question 17

A contract must be in writing to be enforceable if the contract makes per-formance possible within any definite period of time.

Question 18

The form of an agreement is the manner observed in creating it, as opposed to the substance of the agreement.

Question 19

Every state has a statute that specifies what types of contracts must be in writing.

Question 20

A contract in which a party assumes a secondary obligation must be in writing to be enforceable.

Question 21

A party's signature must be at the end of a writing for the writing to constitute an enforceable contract.

Question 22

Alice and Bart enter into a contract for the sale of Canyon Ranch. To be enforceable, this contract must be

A) substantiated by reliable, external evidence.
B) signed in a sufficient manner by both parties.
C) in writing or evidenced by a written memorandum.
D) complete and with all possible terms.

Question 23

Air Flo, Inc., and Banyan Grove Apartments enter into an oral contract in which Air Flo agrees to provide air-conditioning and heating maintenance for Banyan Grove's facilities for two years. This contract is enforceable by

A) Air Flo.
B) Banyan Grove.
C) any third party, such as a HVAC supplies provider.
D) none of the choices.

Question 24

If a party against whom enforcement of an oral contract is sought admits under oath that a contract for sale was made, the contract will be enforceable.

Question 25

Oral evidence cannot be introduced at a trial to "fill in the gaps" of a contract with incomplete terms.

Question 26

An oral contract may be enforceable if the person making the promise could foresee that the promisee would rely on the promise.

Question 27

Ben makes an appointment for a $50 haircut, buys a bike for $250, and agrees to work for Coding Associates for one year for $5,000 per month, starting at the beginning of next month. To be enforceable, a writing is required for

A) the appointment for the haircut.
B) the purchase of the bike.
C) the employment agreement with Coding Associates.
D) none of these.

Question 28

Parol evidence is testimony or other evidence about communications between the parties not contained in the written contract.

Question 29

An integrated contract is a contract with more than one subject or part.

Question 30

When the terms of a written contract are ambiguous, parol evidence is admissible to show the meaning of the terms.

Question 31

Any confirmation, invoice, sales slip, check, or e-mail may constitute a writing that satisfies the Statute of Frauds.

Question 32

Ray agrees to buy one hundred pounds of almonds from Sol. To be enforceable, the agreement must be in writing if the almonds cost at least

A) $50.
B) $250.
C) $499.
D) $500.

Question 33

To be enforceable, a memorandum evidencing an oral contract must include the essential terms of the contract.

Question 34

To satisfy the UCC's Statute of Frauds, a writing need only state the price term.

Question 35

A written contract or a written memorandum signed by the party who seeks to enforce it will satisfy the Statute of Frauds.

Question 36

Duane and Evan orally agree to a transfer of forty acres of farmland. Evan asks Finance Bank to lend him the funds to buy the land. Under the Statute of Frauds, the agreement between Duane and Evan is enforceable by

A) Duane or Evan.
B) Duane, Evan, or Finance Bank.
C) Finance Bank.
D) none of the choices.

Question 37

An oral contract may be enforceable if there is no way to avoid injustice except to enforce the promise.

Question 38

A written contract must consist of a single document to constitute an enforceable contract.

Question 39

In some states, an otherwise unenforceable oral contract may be enforced under the doctrine of promissory estoppel.

Question 40

An oral contract that should be in writing to be enforceable under the Statute of Frauds may be enforceable if it has been partially performed.

Question 41

Daredevil Rides Inc. owes debts to Equipment Repair Company and Food Supplies, Inc. Equipment orally agrees to assume Daredevil's debt to Food to prevent the concessionaire from filing a suit against Daredevil. This agreement is enforceable by

A) none of the choices.
B) Daredevil, Equipment, or Food.
C) Daredevil only.
D) Equipment only.

Question 42

Pumps, Inc., agrees to assume a debt of Quality Parts Company to Reliable Finance LP. The agreement is not in writing. To be enforceable, the promise must be for the benefit of

A) all of the choices.
B) Pumps.
C) Quality.
D) Reliable.

Question 43

Fact Pattern 14 - 1 Grain Co-op LLC and Hearty Cereals Inc. discuss the terms of a contract for periodic deliveries of corn. Grain faxes Hearty a memo on Grain's letterhead that summarizes the points on which they agreed, including a two-year term. Grain begins to perform, and Hearty accepts the deliveries but refuses to pay.
Refer to Fact Pattern 14 - 1. The transaction between Grain and Hearty falls within the provision of the Statute of Frauds involving

A) collateral promises.
B) the one-year rule.
C) sales of goods.
D) secondary contracts.

Question 44

Fact Pattern 14 - 1 Grain Co-op LLC and Hearty Cereals Inc. discuss the terms of a contract for periodic deliveries of corn. Grain faxes Hearty a memo on Grain's letterhead that summarizes the points on which they agreed, including a two-year term. Grain begins to perform, and Hearty accepts the deliveries but refuses to pay.
Refer to Fact Pattern 14 - 1. Between Grain and Hearty, there is

A) an oral contract only.
B) a pre-contract only.
C) a written contract.
D) no contract.

Question 45

Eleanora offers Flossy the amount of an investment in Flossy's start-up business venture if she marries Eleanora's son Glenn. This promise is enforceable

A) only if it is in writing.
B) only if the amount of the investment is more than $500.
C) only if Glenn agrees to marry Flossy.
D) under no circumstances.

Question 46

Oscar orally agrees with Papa's Pizza Restaurant to provide delivery service to its customers for nine months. This contract is enforceable by

A) Oscar only.
B) either Oscar or Papa's.
C) any interested third party, such as a Papa's customer.
D) Papa's only.

Question 47

Physicians Clinic orders by phone seven boxes of single-use latex gloves from Quality Medical Supplies, Inc. After three boxes are delivered and accepted, Physicians Clinic repudiates the contract. Quality Medical can enforce the contract to

A) any extent because the order was placed orally.
B) no extent because the order was placed orally.
C) the extent of the three accepted boxes.
D) the extent of the four undelivered boxes.

Question 48

Rough Canyon Adventures, Inc., and Swampcraft Inc. enter into an oral contract for Swampcraft's sale to Rough of five rafts for $2,000 each. Before Rough takes possession of the rafts, this contract is enforceable by

A) Swampcraft only.
B) Rough only.
C) any interested third party, such as a Rough tour guide or client.
D) none of the choices.

Question 49

Guardian Security, Inc., and Hedge Fund Corporation enter into an oral contract under which Guardian Security agrees to provide security services for Hedge Fund offices for as long as Hedge Fund needs them. This contract may be enforce-able by

A) Guardian Security only.
B) Hedge Fund only.
C) any interested third party, such as a Hedge Fund shareholder.
D) either Guardian Security or Hedge Fund.

Question 50

Colin and Delta Water Company enter into an oral contract under which Delta agrees to provide Colin with lifetime employment. This con-tract may be enforceable by

A) Colin only.
B) Delta only.
C) any interested third party, such as a Delta supplier.
D) either Colin or Delta.

Question 51

Nate promises to pay for dental services provided by Otto to Polly. Nate receives no personal benefit for the promise. To be enforceable, the promise must be in writing if

A) Nate promises to pay only if Polly does not pay.
B) Nate assumes primary financial responsibility for the cost.
C) Otto's services will be provided in installments with separate payments.
D) Polly also promises to pay.

Question 52

ActioNOW and Becca enter into an oral contract in which Becca agrees to work on a project for ActioNOW for eighteen months. This contract is enforceable by

A) ActioNOW.
B) Becca.
C) any third party, such as ActioNOW's clients.
D) none of the choices.

Question 53

Gusher Irrigation Inc. and Heartland Farms enter into a contract for a sale of irrigation equipment for $50,000. To be enforceable, the contract should be in writing and identify

A) the source of payment.
B) the price.
C) the terms of payment.
D) the quantity.

Question 54

Lewis tells a representative of Music Inc. that he will pay for Nora's trumpet if she does not. Lewis does not secure any personal benefit for this promise. This promise is enforceable as a contract

A) only if they meet to form the agreement.
B) only if Nora agrees to it.
C) only if the value of the trumpet is more than $500.
D) only if it is in writing.

Question 55

Fred agrees to assume a debt owed by Guitars Inc. to Home Bank. The agreement is not in writing. To be enforceable under the "main purpose" rule, the promise must be for the benefit of

A) any third party, such as a Guitars Inc. customer.
B) Fred.
C) Guitars Inc.
D) Home Bank.

Question 56

Main St. Markets Inc. and Nature's Food Corporation discuss the terms of a contract. They exchange "signed" e-mails that summarize the terms on which they agree. Main St. begins to perform, but Nature's refuses to pay. Between Main St. and Nature's, the e-mails are treated as

A) an oral contract.
B) a pre-contract.
C) a written contract.
D) no contract.

Question 57

Dick's Burgers n' Shakes enters into an oral contract with Restaurant Equipment Warehouse (REW) for REW's sale to Dick's of a single-spindle milkshake mixer for $300. Assuming the terms can be proved, the contract is enforceable by

A) Dick's or REW.
B) the manufacturer of the mixer.
C) any third party with a material interest, such as one of Dick's suppliers.
D) none of the choices.

Question 58

Merl separately buys a tablet for $500, running shoes for $200, and a set of the Game of Crowns books for $100. To be enforceable as a contract, a writing is required for the purchase of

A) the books, the shoes, and the tablet .
B) the shoes and the tablet only.
C) the tablet only.
D) the books only.

Question 59

Hal's Hardware Stores and Indelible Tools, Inc., sign a written contract for a sale of goods. To be enforceable, this written contract must include

A) a correct title, such as "Purchase Order" or "Sales Invoice."
B) a date, such as "October 2018" or "10/2018."
C) a quantity term, such as "50 hammers" or "100 boxes of assorted nails."
D) the parties' contact information.

Question 60

Fact Pattern 14 - 1 Grain Co-op LLC and Hearty Cereals Inc. discuss the terms of a contract for periodic deliveries of corn. Grain faxes Hearty a memo on Grain's letterhead that summarizes the points on which they agreed, including a two-year term. Grain begins to perform, and Hearty accepts the deliveries but refuses to pay.
Refer to Fact Pattern 14 - 1. Between Grain and Hearty, this contract is most likely enforceable against

A) neither party.
B) Grain only.
C) Hearty only.
D) Grain and Hearty, at least to the extent of the performance.

Question 61

Builders Corporation files a suit against Concrete Company to enforce a written contract. If the court finds that the parties intended the contract to be the final statement of their agreement, parol evidence can be admitted to prove

A) an orally agreed-on condition.
B) terms discussed before the contract but not contained in it.
C) terms discussed at the time of the contract that contradict the written terms.
D) nothing.

Question 62

Quinn and Ruth orally agree on the sale of Seafood Shippers Inc. and jot down the terms on the back of one of Seafood's blank invoices, which they both sign. A written memorandum evidencing an oral contract that would otherwise be unenforceable must contain

A) all terms .
B) the essential terms.
C) the preliminary terms.
D) the quality terms.

Question 63

In a transaction for the sale of a warehouse, Storage Company tells Truck Transfer Corporation that the office furniture is included. The contract says nothing about furniture, but does state, "This document supersedes all oral promises relating to the sale." Is the furniture part of the sale? Why or why not?

Question 64

Rocco orally agrees to sell his Spring Beverage Company to Thirsty Inc. Rocco notes the terms on a sheet of Spring stationery and signs it. This agreement is most likely enforceable against

A) no one.
B) Spring and Thirsty .
C) Rocco.
D) Thirsty.

Question 65

Waterfront Hotel Corporation in Boston offers a job to Carol, who lives in Denver. Carol orally agrees to work for Waterfront for two years. She moves her family to Boston and begins work. Three months later, she is fired for no stated cause. She files a suit against the employer for reinstatement or pay. Waterfront pleads the lack of a written contract. In whose favor is the court likely to rule, and why?

Question 66

Fact Pattern 14-2 Charlie and Dill sign a written contract for the sale of Dill's BBQ Food Truck to Charlie. The parties intend their written contract to be a final statement of the terms of their agreement.
Refer to Fact Pattern 14 - 2. The writing that Charlie and Dill signed is

A) a completely integrated contract .
B) a partially divisible contract.
C) a partially integrated contract.
D) a completely severable contract.

Question 67

Fact Pattern 14-3 Alain and Brie sign a contract for the sale of Alain's Patisserie to Brie. The parties intend their written contract to be a final statement of most, but not all, of the terms of their agreement-Alain must first buy the building from Commercial Properties, Inc., after which Alain and Brie will agree on a price.
Refer to Fact Pattern 14-3. Brie later disputes some of the provisions of the deal with Alain. If the dispute results in litigation, a court will most likely admit evidence of additional terms that are

A) ambiguous .
B) consistent.
C) contradictory.
D) clear.

Question 68

Fact Pattern 14-3 Alain and Brie sign a contract for the sale of Alain's Patisserie to Brie. The parties intend their written contract to be a final statement of most, but not all, of the terms of their agreement-Alain must first buy the building from Commercial Properties, Inc., after which Alain and Brie will agree on a price.
Refer to Fact Pattern 14-3. The writing that Alain and Brie signed is

A) completely integrated .
B) conditionally integrated.
C) partially integrated.
D) supplementally integrated.

Question 69

Maya and Nick enter into a contract. To be enforceable, the contract must include

A) no particular signatures.
B) the signatures of both Maya and Nick.
C) the signature of the party against whom enforcement is sought.
D) the signature of the party who is seeking enforcement.

Question 70

Lumber LLC files a suit against Mill Company to enforce an oral contract that would otherwise be unenforceable under the Statute of Frauds. The court could enforce such a contract if

A) Lumber foreseeably and justifiably relied on Mill's promise.
B) Mill denies the existence of any contract.
C) neither party has begun to perform.
D) the deal does not involve customized goods.

Question 71

Fact Pattern 14-2 Charlie and Dill sign a written contract for the sale of Dill's BBQ Food Truck to Charlie. The parties intend their written contract to be a final statement of the terms of their agreement.
Refer to Fact Pattern 14 - 2. Later, Dill disputes some of the provisions in the deal with Charlie. If the dispute results in litigation, a court will most likely exclude evidence that

A) supports the written terms .
B) contradicts the written terms.
C) duplicates the written terms.
D) reinforces the written terms.

Question 72

Ranchland Properties and Prairie State Investments sign a written contract for a sale of land. In some states, to be enforceable, this contract must include

A) a correct title, such as "Land Transfer" or "Real Estate Agreement."
B) a declaration of the contract's purpose.
C) a statement of the source of financing.
D) a description of the land.