Deck 13: Introduction to Contracts

Question 1

A contract for the sale of a good falls under Article 2 of the UCC.

Answer 1

True

Question 2

A bond used as bail in a criminal case is a recognizance,which is an example of a formal contract.

Answer 2

True

Question 3

Today,courts hold that once an offeree begins performance on a unilateral contract,the offeror must hold the offer open for a reasonable time to allow the offeree to complete the performance.

Answer 3

True

Question 4

Congress passed the Uniform Electronic Transactions Act UETA).

Question 5

Which of the following was the result on appeal in Reisenfeld & Co.v.The Network Group,Inc. ;Builders Square,Inc. ;Kmart Corp. ,the case in the text involving whether the plaintiff could recover from BSI in the situation in which BSI contracted with Network Group to lease property,and Network Group contracted with the plaintiff agreeing to pay a certain commission for his work but then defaulted on the contract?

A)The court ruled that because a quasi-contract was involved,BSI was required to pay the plaintiff the full amount of the commissions claimed.
B)The court ruled that because the plaintiff did not have a contract with BSI,the plaintiff was entitled to no recovery from BSI.
C)The court ruled that because it was a third-party beneficiary,BSI was required to pay the plaintiff the full amount of the commissions claimed.
D)The court ruled that because a quasi-contract was involved,BSI was required to pay the plaintiff the reasonable value of the services rendered,not necessarily the contractual amount promised for commissions.
E)The court ruled that because it was a third-party beneficiary,BSI was required to pay the plaintiff the reasonable value of the services rendered,not necessarily the contractual amount promised for commissions.

Question 6

Any contract that is not a formal contract is an informal contract,also called a simple contract.

Question 7

The purpose of a covenant not to compete,in the employer/employee context,is to restrict what an employee may do after leaving a company.

Question 8

Which of the following is true regarding the type of marriage contract discussed in the text called the muta'a?

A)It is a contract by which the female agrees to a divorce if there are no children from the marriage within five years.
B)It is a temporary type of arrangement called a "responsibility marriage" in which the female is paid to care for the male's elderly parents.
C)It is a contract by which the female agrees to a divorce if there are no children from the marriage within three years.
D)It is a temporary type of arrangement called a "pleasure marriage" in which the female is paid for sexual intimacy.
E)It is a type of premarital contract typical to the U.S.in which the parties agree ahead of time how property and assets should be divided in the event of divorce.

Question 9

If a contract is valid,then it is enforceable.

Question 10

If a quasi-contract is imposed,the amount of damages for a breach is based upon the fair market value of any service provided to the defendant.

Question 11

Contracts do not have to fall under the common law or the Uniform Commercial Code.

Question 12

There is no requirement that enrichment be unjust in order to recover under quasi-contract.

Question 13

The Restatement Second)of the Law of Contracts is not actually the law itself.

Question 14

The response that the offeror expects from the offeree determines whether a contract is bilateral or unilateral.

Question 15

A[n] _ is a promise or set of promises for the breach of which the law gives a remedy or the performance of which the law in some way recognizes a duty.

A)Acceptance
B)Legal object
C)Contract
D)Offer
E)Consideration

Question 16

In the Case Opener,Hallmark claimed that an arbitration ruling against a former employee should be upheld.Which of the following was the result of the case?

A)The former employee could proceed with an action in court because there was no consideration for the arbitration agreement and,therefore,no valid agreement.
B)The former employee was allowed to proceed in court because she had exhausted her remedies in the arbitration arena.
C)The former employee was barred from proceeding in court based on the statute of limitations which expired while she was pursuing her remedies in arbitration.
D)The former employee could proceed with an action in court because,as a matter of law,arbitration agreements are barred in the arbitration context.
E)The former employee was barred from proceeding in court because of the binding arbitration clause.

Question 17

Quasi-contracts are actual contracts.

Question 18

In relation to contracts,the term "consideration" pertains to parties acting in an ethical manner.

Question 19

Which of the following consists of an offer by one party and an acceptance of the terms by another party?

A)Coherence
B)Agreement
C)Legal object
D)Concurrence
E)Alliance

Question 20

If a person is intoxicated when signing a contract,they may not back out of the contract based on being intoxicated because being intoxicated is a voluntary condition.

Question 21

A[n] ________ contract is commonly defined as a promise in exchange for a promise.

A)Bilateral
B)Complete
C)Unilatera l
D)?Classifie d
E)?Trilateral

Question 22

The person who makes an offer is called a[n] _ _.

A)Offeree
B)Offeror
C)Agreeor
D)Inquirer
E)Agree

Question 23

Contract law is said to be based on a[n] ________ theory,meaning that the existence and interpretation of the contract is based on the outward manifestations of intent by the parties.

A)Interpretive
B)Unilateral
C)Appearing
D)Subjective
E)Objective

Question 24

Which of the following references the requirement that a contract not be either illegal or against public policy?

A)Capacity
B)Ethical requirement
C)Legal object
D)Illegal prohibition
E)Consideration

Question 25

Of the following,which was introduced by prominent legal scholars who were recruited by the American Law Institute?

A)Common law.
B)The Restatement of the Law Second,Contracts.
C)Common law and the Convention on Contracts for International Sales of Goods.
D)The Convention on Contracts for the National Sales of Goods.
E)The Convention on Contracts for the National Sales of Goods and the Restatement of the Law Second,Contracts.

Question 26

In a[n] contract,the offeror wants a performance to form the contract.

A)Anticipatory
B)Unilateral
C)Complete
D)Trilateral
E)Bilateral

Question 27

Which of the following is the part of the Uniform Commercial Code governing contracts for the sale of goods?

A)Article 3
B)Article 2
C)Article 7
D)Article 4
E)Article 5

Question 28

The law of contracts is primarily ________ law.

A)Common
B)Restated
C)Comprehensive
D)Statutory
E)Modified

Question 29

Which of the following may represent a lack of genuine assent?

A)Acceptance secured through fraud,dress,or undue influence,but not through misrepresentation.
B)Acceptance secured through undue influence,misrepresentation,or duress,but not through fraud.
C)Acceptance secured through fraud or duress,but not through misrepresentation or undue influence.
D)Acceptance secured through fraud,duress,undue influence,or misrepresentation.
E)Acceptance secured through fraud,duress,or misrepresentation,but not acceptance through undue influence.

Question 30

The legal ability to enter into a binding agreement is known as what?

A)Contractual capacity
B)Informed consent
C)Emancipation
D)Majority
E)Contractual knowledge

Question 31

If a[n] ________ misunderstanding between the parties exists,and as a result of that misunderstanding the parties do not really come to a meeting of the minds,there is no contract.

A)Unilateral
B)Reasonable
C)Subjective
D)Mutual
E)Comprehensive

Question 32

If an attorney states that a contract lacks "the proper form," it is typically an indication of which of the following?

A)The contract lacked a writing.
B)The contract lacked consideration.
C)The contract lacked a proper acceptance.
D)The contract lacked both an appropriate offer and an appropriate acceptance.
E)The agreement lacked a proper offer.

Question 33

In the U.S. ,which of the following are the two most important sources of contract law?

A)Case law and the Convention on Contracts for International Sales of Goods.
B)The Uniform Commercial Code and the Convention on Contracts for International Sales of Goods.
C)Case law and the Uniform Commercial Code.
D)The Convention on Contracts for International Sales of Goods and the Restatement of the Law,Contracts.
E)Case law and the Restatement of Law,Contracts.

Question 34

The ________ is the person who agrees to the terms of an offer made by the other party.

A)Agreeor
B)Agree
C)Offeree
D)Offeror
E)Inquirer

Question 35

Which of the following is a definition for consideration?

A)Being cordial in the negotiation of contracts.
B)The bargained-for exchange.
C)A contract negotiated in person as opposed to by telephone or e-mail.
D)Being cordial and refraining from unethical behavior in the negotiation of contracts.
E)Refraining from unethical behavior in the negotiation of contracts.

Question 36

Which of the following is the reason the Uniform Commercial Code was drafted?

A)Different states had different laws governing contracts which did not result in a smooth flow of interstate commerce.
B)Federal law governing contracts was difficult to apply.
C)The Restatement of the Law Second,Contracts was not being evenly and fairly applied.
D)The Uniform State Act on laws was not working.
E)Some states had no law governing contracts.

Question 37

Today's law of contracts originated from judicial decisions in ________.

A)England
B)Switzerland
C)France
D)Spain
E)Italy

Question 38

Generally,when determining whether a contract exists the intent of the parties is not relevant;rather,what matters is how they represented their intent through their actions and words.

A)Unilateral
B)Comprehensive
C)Considered
D)Objective
E)Subjective

Question 39

Patrick and Britt are in agreement that Patrick will pay Britt $2,000 for a used vehicle.At what point is there a binding contract?

A)When the money is paid.
B)Twenty days after the car is delivered and approved.
C)When the agreement is made.
D)Ten days after the car is delivered and approved.
E)When the car is delivered.

Question 40

All contracts can be categorized as either ________ or ________.

A)Bilateral;complete
B)Unilateral;bilateral
C)Unilateral;complete
D)Unilateral;trilateral
E)Bilateral;trilateral

Question 41

When there is a law that prohibits the courts from enforcing a valid contract,it may be valid but ________.

A)Novated
B)Condoned
C)Unenforceable
D)Executed
E)Executory

Question 42

In which of the following does a contract arise not from words but from the conduct of the parties?

A)Liquidated contracts
B)Bilateral contracts
C)Implied contracts
D)Unilateral contracts
E)Express contracts

Question 43

Which of the following is the most likely measure of recovery when a quasi-contract is involved?

A)Damages will be computed the same way as they are computed for any other contract.
B)The amount sought by the plaintiff in the Complaint.
C)The wholesale price of any good involved.
D)The fair market value of the matter involved.
E)The amount set forth in the contract.

Question 44

Which of the following terms refers to the $50 to be provided by Dylan and the book to be provided by Yasmeen?

A)Encouragement
B)Consideration
C)Material
D)Provisions
E)Inducement

Question 45

A contract is said to be ,once all the terms of the contract have been fully performed.

A)Executed
B)Stopped
C)Anticipatory
D)Ended
E)Executory

Question 46

Which of the following is in effect not a contract at all?

A)A void contract
B)A voidable contract
C)An executory contract
D)An executed contract
E)An implied contract

Question 47

Which of the following are examples of formal contracts?

A)Letters of credit and contracts under seal,but not executed contracts.
B)Contracts under seal,letters of credit,and also executed contracts.
C)Executed contracts but not contracts under seal or letters of credit.
D)Contracts under seal,letters of credit,but not executory contracts.
E)Contracts under seal but not executed contracts or letters of credit.

Question 48

The term originated from the days when a contract was literally sealed by a piece of soft wax into which an impression was made.

A)Contracts under wax
B)Contracts under pressure
C)Implied-in-law contracts
D)Implied-in-fact contracts
E)Contracts under seal

Question 49

Which of the following is sometimes referred to as an implied-in-law contract?

A)Express contracts
B)Quasi-contracts
C)Express contracts and quasi-contracts
D)Implied-in-fact contracts
E)Express contracts and implied-in-fact contracts

Question 50

What number of states will still allow a contract without consideration to be enforced if it is under seal?

A)Five
B)Twenty
C)Eight
D)Ten
E)Thirty

Question 51

Which of the following describes Dylan's role in the transaction?

A)He was the offeree.
B)He was the assentee.
C)He was the assentor.
D)He was the offeree and the assentee.
E)He was the offeror.

Question 52

An agreement by a person who issues a letter to pay a sum of money on receipt of an invoice and other documents is called a ________.

A)Letter of credit
B)Letter of acknowledgement
C)Letter of agreement
D)Negotiated credit instrument letter
E)Letter of simple contract

Question 53

Which of the following states that if a writing,or term in question,appears to be plain and unambiguous on its face,its meaning must be determined from the four corners of the instrument without resort to outside evidence,with the words being given their ordinary meaning?

A)The Simple Rule
B)The Plain Meaning Rule
C)The Understandable Rule
D)The Interpretation Rule
E)The Comprehensive Rule

Question 54

When written documents are signed by a party that makes an unconditional promise to pay the holder of the instrument a specific sum of money on demand,or at a certain time,they are called?

A)Formal contracts
B)Recognizances
C)Simple contracts
D)Informal contracts
E)Negotiable instruments

Question 55

Which of the following contracts are usually voidable?

A)Contracts entered into as a result of undue influence or fraud,but not duress.
B)Contracts entered into as a result of duress or undue influence,but not fraud.
C)Contracts entered into as a result of fraud,but not duress or undue influence.
D)Contracts entered into as a result of fraud,duress,or undue influence.
E)Contracts entered into as a result of fraud or duress,but not undue influence.

Question 56

If one or both of the parties have the ability to either withdraw from the contract or enforce it,without breaching the contract,the contract is ________.

A)Implied
B)Executed
C)Void
D)Executor y
E)?Voidable

Question 57

[Book Sale] Yasmeen offered to sell Dylan a used business law book for $50.She told him that he could use it in his upcoming business law class the next semester.However,there was a problem with the book;it was several editions old.Dylan was not aware of that fact,and neither was Yasmeen.When Dylan took the book to class and realized the problem,he went back to Yasmeen requesting a refund.Yasmeen refused to return his money.She claimed that she did not commit fraud because subjectively she thought that the book was correct,and that a binding contract existed.The book,however,is outdated and cannot be appropriately used in the class.
Which of the following would describe Yasmeen's role in the transaction?

A)She was the assentor.
B)She was the offeree and the assentee.
C)She was the offeree.
D)She was the offeror.
E)She was the assentee.

Question 58

As long as some of the duties under a contract have not yet been performed,the contract is considered ________.

A)Stopped
B)Executed
C)Ended
D)Executory
E)Anticipatory

Question 59

A[n] ________ arises when a person acknowledges in court that he or she will perform some specified act or will pay a price upon failure to do so.

A)Implied-in-fact
B)Contract under seal
C)Voidable contract
D)Recognizance
E)Informal contract

Question 60

In Re Zappos.com Inc. ,v.Customer Data Security Breach Litigation,the case in the text in which customers of Zappos claimed that they were not bound to an arbitration agreement contained in a contract with Zappos,what was the result of the case?

A)The court ruled in favor of Zappos on the basis that the contract was properly entered into and was fully enforceable.
B)The court ruled in favor of Zappos on the basis that even though some provisions of the contract were unenforceable,because of the federal policy favoring arbitration agreements,the arbitration clause itself was enforceable.
C)The court ruled for the plaintiffs only because of its finding that the contract was illusory and unenforceable because Zappos could avoid promises at any time.
D)The court ruled for the plaintiffs for the following two reasons: 1)there was no contract because plaintiffs did not assent to it,and 2)even if a contract existed,the contract was illusory and unenforceable because Zappos could avoid promises at any time.
E)The court ruled for the plaintiffs only because of its finding that no contract existed based on the plaintiffs' lack of assent.

Question 61

Which of the following is a correct description of the agreement between Allison and Brendan?

A)They had a unilateral,implied agreement.
B)They had a bilateral,implied agreement.
C)They had a bilateral and unilateral agreement.
D)They had a bilateral,express agreement.
E)They had a unilateral,express agreement.

Question 62

[Wrong Deck] Gina hires Jackson over the telephone to paint her back deck.She tells him her address and agrees to pay him $200 for the job,and he accepts.They enter into the agreement on Tuesday,and he is to paint the deck on Saturday.Jackson had a little difficulty finding her house because he spilled coffee on the note where he wrote her address.When Jackson arrives,neither Gina nor her neighbor is at home.He mistakenly paints the neighbor's deck.Gina calls him the next day and asks him why he did not paint her deck.He informs her that he did paint the deck.When it is discovered that he mistakenly painted the neighbor's deck,Gina tells him not to worry because the neighbor will be required to pay him.Jackson says that if the neighbor does not pay,then he expects all of the payment from Gina,because the contract is executed.
As of Tuesday when Jackson and Gina agreed upon the price for the job,what was the status of the agreement?

A)The contract was executory.
B)The contract was formal.
C)The contract was executed.
D)The contract was novated.
E)The contract was a recognizance contract.

Question 63

Which of the following is true about contract law in China?

A)China has seven chapters of general provisions for contracts but also has chapters with special provisions for 15 different types of contracts.
B)China does not have laws regarding contracts.
C)China has general provisions for contracts,but no specific provisions for different types of contracts.
D)China's contacts laws are very similar to those of the United States.
E)China only follows international laws regarding contracts.

Question 64

Which of the following is correct regarding Gina's assertion that the neighbor will be required to pay Jackson?

A)She is correct.The neighbor will be required to pay Jackson based upon an implied-in-law contract.
B)She is correct.The neighbor will be required to pay Jackson based upon an express contract.
C)She is incorrect.The neighbor will not be required to pay Jackson.
D)She is correct.The neighbor will be required to pay Jackson under a theory of quasi-contract.
E)She is correct.The neighbor will be required to pay Jackson based upon an implied-in-fact contract.

Question 65

Which of the following statements is true about ESIGN?

A)Documents produced electronically are legally valid,but not as valid as documents produced on paper.
B)E-contracts are formed electronically but executed when printed and signed.
C)ESIGN affirms e-contracts as legally valid.
D)ESIGN is international law.
E)ESIGN stands for the Electronic Signing In Great Numbers.

Question 66

In Baum v.Helget Gas Products,Inc. ,what was the outcome of the handwritten notes that were claimed to comprise an employment contract?

A)Handwritten notes can constitute a unilateral contract only.
B)Handwritten notes can comprise certain types of contracts,but not an employment contract.
C)Handwritten notes are too informal to comprise an employment contract.
D)Handwritten notes can be considered an enforceable employment contract.
E)Handwritten notes can be part of an employment contract,if a formal contract is subsequently executed.

Question 67

Which of the following is true regarding Brendan's statement that he did not have to pay the emergency room charges?

A)He is incorrect because there was a bilateral,express contract.
B)He is partially correct in that because a quasi-contract existed,he would have to pay;but he would only have to pay fair market value,not what the hospital requested.
C)He is correct.
D)He is incorrect because there was a binding implied contract.
E)He is incorrect because there was a unilateral,express contract.

Question 68

[Wedding flowers] Serena planned a backyard wedding for her daughter,Naomi,and contacted Flo's Flowers.Flo and Serena discussed terms for Naomi's wedding,including purple flowers,delivery at 3:00 p.m. ,and a total cost of $2,000.Flo e-mailed Serena a ten-page pre-printed contract in tiny print,which Serena thought was very long and confusing,but Flo had the best flowers in town.Serena glanced at the contract and noticed the price of "Three Thousand Dollars," which was not what they agreed.She typed a line through it and typed "$2K" in the margin along with her initials.Since she did not see anything about flower color,she added on the last page "As discussed,please provide purple flowers." She also noticed the delivery time was 5:00 p.m.Since they had agreed on 3:00 p.m. ,she changed that item,and then typed her name at the bottom of the contract and e-mailed it back to Flo.When the big day came two months later,Flo's delivery truck did not arrive until 5:00 p.m. ,and brought pink flower arrangements.The delivery workers gave Serena an invoice for$3,000 and demanded payment.Serena was livid and demanded they provide purple flowers,as agreed.Unfortunately,they had no flowers left in the delivery truck and the store was closed.Guests were arriving and Serena had no choice but to use the pink flowers.She begrudgingly handed over a check for $2,000.The following day,Flo called demanding payment of the remaining one thousand dollars.Serena told her she would not pay because the flowers were pink,the price was wrong,and they arrived late.Flo referred Serena to Section 29 of the contract which states,"Pigment may be redesigned at any time."
Following standards of contract interpretation,what was the proper price of the flowers,according to the terms of the contract?

A)$2,000 because that was what they agreed and the judge would follow the intent of the parties.
B)$2,000,because that was the latter act of the contract.
C)$2,000 because Serena may cross out terms if initialed.
D)$3,000,because that was how it was written on the form and Serena has no right to cross it out.
E)$3,000 because the words were written out.

Question 69

Which of the following statements is true about both ESIGN and UETA?

A)Not every state has adopted ESIGN,but every state has adopted UETA.
B)ESIGN affirms e-contracts as legally valid,but under UETA,e-contracts do not have the same effect as a paper contract.
C)Congress passed ESIGN and UETA to facilitate e-commerce.
D)A few states have not adopted ESIGN and UETA.
E)Both ESIGN and UETA affirm e-contracts as legally valid.

Question 70

Flo claims that "pigment redesign" in Section 29 is regularly used in the flower business,and that she had every right to "redesign" the color of the arrangements because she is a professional in the business.On which general guideline of contract interpretation is Flo relying?

A)Section 29 is quoting a federal law that allows professionals in the flower business to select color.
B)The four corners rule.
C)The plain language rule.
D)The technical exemption law of the UCC.
E)General guidelines of contract interpretation.

Question 71

Serena claims the contract is not valid because she only typed her name onto an electronic form and she did not "sign" any contract.Is she correct?

A)No,because e-contracts are legally valid.
B)Yes.Since she paid the down payment,the contract was executory and e-contracts that are executory are void.
C)Yes,to be valid,she needed to print the form,sign in,and send it in.
D)No,an e-contract is voidable where there is no consideration.
E)Yes,although an e-contract is valid,it is voidable.

Question 72

Which of the following is true regarding Yasmeen's claim that she subjectively believed the book was an appropriate edition and that an enforceable contract,therefore,existed?

A)She is correct because agreements for the sale of goods are based on a subjective theory.
B)She is correct because contract law is based upon a subjective theory of contracts.
C)She is correct because her genuinely held belief establishes that she did not commit fraud.
D)She is incorrect because her subjective belief would not be the basis for a determination of whether the contract would be enforced in this case and also because fraud is not necessary in order to find a breach of contract.
E)She is correct but only if Dylan subjectively believed the same as she did.

Question 73

Serena claims Flo breached the contract by arriving at 5:00 p.m. ,rather than 3:00.Is she correct?

A)No,although Serena could change the terms of the contract,she could not do so via e-mail.
B)No,because Serena could not change the terms of the contract.
C)Yes,because where there is conflict between preprinted and handwritten terms,the handwritten ones prevail.
D)No,because where there is a conflict between preprinted and handwritten terms,the preprinted ones prevail unless ambiguous.
E)Yes,but only if the contract provision is ambiguous.

Question 74

[Dog Training] Nia and Bruno enter into a written contract for Bruno to train Nia's dog.Under the contract,Nia is required to pay Bruno $20 for each training session.
Would their contract be governed by common law or the UCC?

A)Common law.
B)Both common law and the UCC.
C)Common law,because the UCC specifically excludes biological substances.
D)The UCC.
E)Neither common law not the UCC.

Question 75

Which analysis of the effect of the discovery that Dylan has a book that is not appropriate for the class would be correct?

A)Dylan is stuck with the book because Yasmeen subjectively thought it was the correct book,and Dylan did not openly disagree before the contract was executed.
B)Dylan is stuck with the book because Yasmeen did not commit fraud.
C)Because the parties had a mutual misunderstanding,the parties did not come to a meeting of the minds,and there is no contract.
D)Because both parties were mistaken,at Dylan's option he may return the book;but only half of the purchase price would be required as a refund from Yasmeen because she is not guilty of fraud.
E)Dylan is stuck with the book because he objectively agreed to purchase it.

Question 76

Which statement is true regarding Jackson's assertion that Gina must pay him if the neighbor fails to do so?

A)He is correct because an implied contract existed,and he made an honest mistake for which Gina must accept the risk.
B)He is correct because an express contract existed,and he made an honest mistake for which Gina must accept the risk.
C)He is incorrect unless he can somehow establish that Gina gave him poor directions or was otherwise at fault in informing him which deck to paint,and the contract remains executory.
D)He is correct because a valid contract existed;and,after his performance,it is considered executed.
E)He is correct because an implied-in-law contract existed.

Question 77

Which of the following is not a negotiable instrument?

A)Check
B)Draft
C)Note
D)Certificate of deposit
E)Letter of credit

Question 78

Serena tells Flo that any judge would find that the contract calls for purple flowers,and that Flo breached the contract by providing pink flowers instead of purple.Is she correct?

A)No,because where there is a conflict between preprinted and handwritten terms,the preprinted ones prevail unless ambiguous.
B)No,because Serena could not change the terms of the contract.
C)Yes,but only because more specific provisions take precedence over general ones in a contract.
D)Yes,because a judge should interpret a contract so as to give effect to the parties' intentions at the time they entered into the contract,and there is evidence that they discussed and intended to have purple flowers.
E)No,because the technical terms of Section 29 take precedence.

Question 79

Flo claims that pink was proper under Section 29,and any court would interpret the contract in Flo's favor.Would Section 29 likely be enforced?

A)Yes,Serena should have read the contract more carefully and,if there were any ambiguity,she should have clarified it prior to signing.
B)Yes,Section 29 should be interpreted according to its plain language.
C)Yes,Section 29 is ambiguous and should be interpreted against Serena.
D)No,Section 29 is ambiguous and should be interpreted against Flo.
E)Yes,Serena signed the contract.

Question 80

[Refusal to Pay] Business law teacher Allison needed some yard work done.She told her class that she would give $50 to the first person who mowed her yard.She also entered into an agreement with Karina who agreed to trim some shrubbery for $40.Another student,Brendan went to mow Allison's yard.Unfortunately,just as he finished mowing,a neighborhood dog bit him,and he had to go to the emergency room for a couple of stitches.Allison refused to pay Brendan because she said that he had upset the neighbors and their dog,and that he was more trouble than he was worth.Secretly,Allison was glad about the dog bite because she felt it gave her a reason not to pay.Brendan refused to pay the emergency room because he said that they did not have a binding,bilateral contract.Karina refused to trim the shrubbery because she got a better offer and claimed that she was not bound on the contract until she started the work.
Which of the following is correct regarding Karina's statement that there was no contract?

A)Karina is incorrect because there was a bilateral,implied agreement.
B)Karina is correct.There was no contract because she had not started working.
C)Karina is incorrect because there was a unilateral,implied agreement.
D)Karina is incorrect because there was a bilateral,express agreement.
E)Karina is incorrect because there was a unilateral,express agreement.