Deck 12: Reality of Assent

Question 1

A donee beneficiary is a type of incidental beneficiary.

Answer 1

False
Explanation: Donee beneficiaries are third parties who benefit from a contract in which a promisor agrees to give a gift to the third party.

Question 2

Contracts related to an interest in land fall within the statute of frauds.

Answer 2

True
Explanation: Contracts involving an interest in land fall within the statute of frauds.

Question 3

In ___________ the English Parliament passed the Act for the Prevention of Frauds and Perjuries.

A) 1555
B) 1677
C) 1770
D) 1776
E) 1865

Answer 3

B
Explanation: The idea of requiring that certain contracts be in writing comes from the English "Act for the Prevention of Frauds and Perjuries," passed in 1677.

Question 4

A donee beneficiary is a third party that benefits from a contract in which the promisor agrees to pay the promisee's debt.

Question 5

In order for an assignment to be valid, an assignee must agree to accept the assigned rights.

Question 6

Whenever a written agreement under the statute of frauds contains a serious and obvious typographical error, parol evidence is admissible to demonstrate that the error was indeed an error, as well as to set forth the proper term.

Question 7

When a court deems a contract integrated, parol evidence is generally admissible.

Question 8

In some states a promise to pay a debt that has already been discharged in bankruptcy must be in writing in order to be enforceable.

Question 9

Which of the following is false regarding written contracts?

A) Disputes are easier to settle when contractual terms are solidified in writing.
B) The moment of writing allows both parties to reconsider terms and ensure what they desire.
C) In general, written contracts aid in the conduct of smooth business contracts.
D) The idea of requiring a writing comes from an English Act.
E) All contracts must be in writing in order to be enforced.

Question 10

The parol evidence rule prevents parties from introducing oral evidence of an agreement involving early release in a criminal case because such agreements must be in writing.

Question 11

A contract stating "I assign all of my rights under the contract" will generally be construed to be an assignment of rights but not duties.

Question 12

There is federal U.S. legislation titled "Statute of Frauds".

Question 13

Since its inception, English courts have expanded the number of cases falling within their statute of frauds.

Question 14

An intended beneficiary is a third party to a contract whom the contracting parties intended to benefit directly from their contract.

Question 15

When the sale of goods is involved, under the UCC oral testimony can be used to establish the existence of a writing that has been lost.

Question 16

Creditor beneficiaries can enforce their rights under a contract whenever the contract is valid.

Question 17

There is no legally required wording to be used or forms to be filled out for assignments to be valid.

Question 18

Under partial performance, if the buyer in an alleged contract for the sale of land has paid any portion of the sales price and either has begun to permanently improve the land or has taken possession of the land, the courts will consider the contract partially performed, and this partial performance will amount to proof of the contract.

Question 19

If a contract's terms require that modification be in writing, oral modifications are inadmissible and unenforceable.

Question 20

Delegation of personal duties is generally permitted.

Question 21

Within the statute of frauds, "land" encompasses not only the land and soil itself but anything ___________ to the land.

A) Relating
B) Adjacent
C) Contracted
D) Attached
E) Pertinent

Question 22

Which of the following is false regarding the statute of frauds provision relating to an interest in land?

A) The statute is intended to prevent oral claims to the existence of a contract for the sale of land.
B) The statute requires a writing as evidence of a contract to sell land.
C) Anything attached to land such as trees or buildings is considered real property under the statute of frauds.
D) Mortgages of land are within the statute of frauds.
E) Leases of land are not within the statute of frauds.

Question 23

A purpose of the statute of frauds is to prevent unreliable __________ evidence from interfering with a contractual relationship.

A) Hearsay
B) Oral
C) Irrelevant
D) Immaterial
E) Hearsay and irrelevant

Question 24

Which of the following was the result on appeal in the case in the text Shelby's, Inc. v. Sierra Bravo, Inc., involving the issue of whether an agreement to deposit debris and soil on land came within the statute of frauds?

A) The court ruled that the agreement did not involve an interest in land and did not come within the statute of frauds.
B) The court ruled that the agreement did involve an interest in land and, that it came within the statute of frauds, and that no oral agreement was sufficient.
C) The court ruled that the agreement did not involve an interest in land but placed it within the statute of frauds in order to prevent injustice.
D) The court ruled that the agreement fell within the statute of frauds but that an oral agreement was sufficient.
E) None of these.

Question 25

Which of the following sections of the Uniform Commercial Code addresses the requirement of a writing when a certain amount of goods are sold?

A) 2-201
B) 1-101
C) 3-102
D) 2-305
E) 4-03

Question 26

Which of the following are considered an interest in land within the statute of frauds?

A) Promises to sell crops annually.
B) Agreements between parties for profit sharing from the sale of real property.
C) Boundary disputes that have been settled through the use of land.
D) Promises to sell crops annually, agreements between parties for profit sharing from the sale of real property, and boundary disputes that have been settled through the use of land.
E) None of these.

Question 27

Which of the following is needed in order to satisfy the UCC's requirement for a written document?

A) The contract or memorandum needs only to state the price of the goods.
B) The contract or memorandum needs only to state the quality of the goods.
C) The contract or memorandum needs only to state the quantity to be sold.
D) The contract or memorandum needs to state the price of the goods and the quality of the goods, but not the quantity to be sold.
E) The contract or memorandum needs to state the price of the goods, the quality of the goods, and also the quantity to be sold.

Question 28

Which of the following is false regarding the statute of frauds and promises made in consideration of marriage?

A) Agreements regarding marriage in which one party is gaining something other than a return on his or her promise to marry are within the statute of frauds and must be in writing.
B) Mutual promises to marry fall within the statute of frauds.
C) Prenuptial agreements fall within the statute of frauds.
D) A prenuptial agreement is not automatically enforceable just because it is in writing.
E) Both that mutual promises to marry fall within the statute of frauds and that a prenuptial agreement is not automatically enforceable just because it is in writing.

Question 29

Which of the following are debts incurred in an initial contract?

A) Secondary obligations
B) Primary obligations
C) Secondary promises
D) Collateral promises
E) Suretyship promises

Question 30

A[n] ___________ is a statement made in court, under oath, or at some stage during a legal proceeding in which a party against whom charges have been brought admits that an oral contract existed, even though the contract was required to be in writing.

A) Admission
B) Submission
C) Deposition
D) Interrogatory
E) Confirmation

Question 31

Which of the following is a term for contracts within the statute of frauds involving promises to pay a debt of another if the other party fails to pay?

A) Secondary promises
B) Primary promises
C) Primary debts
D) Third-party debts
E) Commercial promises

Question 32

Which of the following are discussed in the text as possible exceptions to the statute of frauds?

A) Admissions
B) Partial performance
C) Promissory estoppel
D) Admissions, partial performance and promissory estoppel
E) Admission and partial performance, but not promissory estoppel

Question 33

A[n] ___________ agreement is an agreement two parties enter into before marriage that clearly states the ownership rights each party enjoys in the other party's property.

A) Preliminary
B) Planned
C) Approved
D) Prenuptial
E) Arranged

Question 34

Which of the following is true regarding the statute of frauds requirement involving contracts that cannot be performed within one year?

A) The one-year period begins to run the day after the contract is created, not when the contract is scheduled to begin.
B) Even if it is highly unlikely that a contract will be completed within one year, a contract does not come within the statute of frauds if it could be completed within one year.
C) If a party contracts for lifetime employment, the contract does not have to be in writing in order to be enforceable.
D) Contracts whose performance, based on the terms of the contract, could not possibly occur within one year fall within the statute of frauds.
E) All of these are true.

Question 35

Which of the following is false regarding assignment of claims in Russia?

A) The assignment of rights, or "assignment of claims," in Russia is highly regulated by the Russian common law.
B) Russian law does not address the assignment of a contract in the same manner as the United States.
C) Economic or monetary rights of the assignor may be transferred to another person.
D) Alimony rights may not be assigned to another person.
E) Assignments must be in writing.

Question 36

Under the Uniform Commercial Code, contracts for the sale of goods totaling more than ___________ must be in writing.

A) $200
B) $300
C) $500
D) $600
E) $1,000

Question 37

Which of the following is false regarding the statute of frauds?

A) It relates to fraudulent contracts.
B) It does not address illegal contracts.
C) It does not exist at the federal level.
D) The statute requires that certain contracts be in writing.
E) Some states have statutes of frauds created by judicial decision rather than legislation.

Question 38

All states except ___________ adhere to the admission exception to the statute of frauds.

A) Hawaii and Alaska.
B) Louisiana and New York
C) Louisiana and California
D) Kentucky and Florida
E) North Carolina and Montana

Question 39

Which of the following is an exception as to when a secondary obligation needs to be in writing?

A) The primary-purpose rule
B) The resulting-fact rule
C) The main-purpose rule
D) The delineated rule
E) The personal-obligation standard

Question 40

Under ___________, if the buyer in an alleged contract for the sale of land has paid any portion of the sale price, has begun to permanently improve the land, or has taken possession of the land, the courts will consider the contract partially performed, and this partial performance will amount to proof of the contract.

A) Substantial performance
B) Partial performance
C) Sales substantiation
D) The purchase proof rule
E) The sales proof rule

Question 41

Which of the following parties must sign a document coming within the statute of frauds?

A) The party against whom action is sought
B) The offeror only
C) The offeree only
D) Only a person who has agreed to pay the debt of another
E) Any party to the contract

Question 42

Which of the following is true regarding a signature on a document falling within the statute of frauds?

A) There is no requirement of any signature of either party to satisfy the statute of frauds.
B) Any party required to sign must sign at the beginning of the document.
C) Any party required to sign must sign at the end of the document.
D) Any party required to sign must sign both at the end and at the beginning of the document.
E) So long as it is meant as a signature, a party required to sign may sign at any place on the document.

Question 43

Which of the following are written contracts intended to be the complete and final representation of the parties' agreement?

A) Complete contracts
B) Integrated contracts
C) Adhesion contracts
D) Bilateral contracts
E) Acknowledged contracts

Question 44

Which of the following is a contractual party who agrees to do something for the other party?

A) Obligor
B) Obligee
C) Assignor
D) Assignee
E) Boundee

Question 45

Which of the following was the result on appeal in Traffic Control Services v. United Rentals Northwest, Inc., the case in the text involving the issue of whether employee noncompetition covenants were assignable?

A) That employee noncompetition agreements are not of a personal nature but may be assigned with the consent of the employee.
B) That employee noncompetition agreements are not of a personal nature and may be assigned without the consent of the employee.
C) That employee noncompetition agreements are of a personal nature and cannot be assigned without the express consent of an employee.
D) That employee noncompetition agreements are legal only when professionals are involved, that the employee at issue was not a professional, and that, therefore, the agreement was illegal and not assignable.
E) That employee noncompetition agreements are illegal in general and, therefore, not assignable.

Question 46

Which of the following is false regarding the parol evidence rule?

A) It is not limited to spoken words.
B) It is a rule of evidence.
C) It relates to substantive legal issues.
D) It is an amalgamation of different rules and conditions.
E) It applies to writings created at the same time as the written agreement.

Question 47

Which of the following are exceptions to the parol evidence rule?

A) Contracts that have been subsequently modified
B) Contracts conditioned on orally agreed-on terms
C) Contracts that are not final as they are part written and part oral
D) Contracts with ambiguous terms
E) All of these

Question 48

When may a court rule that parol evidence may be admissible to further the court's understanding of an agreement?

A) When a court determines that a written agreement represents a complete and final version of the agreement.
B) When a court determines that a written agreement does not represent a complete and final version of the agreement.
C) When a court determines that there is disagreement between the parties over performance of the agreement.
D) When a court determines that the plaintiff failed to do sufficient research to determine if signing the agreement was advisable.
E) When a court determines that either party failed to obtain counsel to determine if signing the agreement was advisable.

Question 49

What is the term for the party to a contract who transfers her rights to a contract to a third party?

A) Transferor
B) Transferee
C) Relator
D) Assignor
E) Assignee

Question 50

Which of the following occurs when a party to a contract transfers her rights to a contract to a third party?

A) Assignment
B) Referral
C) Disgorgement
D) Privity
E) Transfer

Question 51

What is a purpose of the parol evidence rule?

A) To restrict oral evidence from being admitted that supports an agreement in its written form.
B) To restrict written evidence from being admitted that supports an agreement in its written form.
C) To restrict oral and written evidence from being admitted that supports an agreement in its written form.
D) To restrict hearsay from being admitted that supports or contradicts an agreement in its written form.
E) To restrict evidence from being admitted that substantially contradicts an agreement in its written form.

Question 52

In contracts other than those governed by the UCC, which of the following are required elements for a writing to be considered sufficient under the statute of frauds?

A) Identification of the parties to the contract.
B) Identification of the subject of the agreement.
C) Identification of the penalties for nonperformance.
D) Identification of the parties to the contract, identification of the subject of the agreement, and identification of the penalties for nonperformance.
E) Identification of the parties to the contract and the subject of the agreement, but not penalties for nonperformance.

Question 53

A ___________ clause is a clause parties include in a written agreement within the statute of frauds that states that the written agreement accurately reflects the final, complete version of the agreement.

A) Adhesion
B) Complete
C) Parol
D) Merger
E) Consolidation

Question 54

One way parties can indicate their desire to create an integrated contract is through the use of a[n] ___________ clause.

A) Complete
B) Merger
C) Adhesion
D) Bilateral
E) Acknowledged

Question 55

Even if they would normally have to be in writing, if applicable criteria are met, oral contracts for ____________ goods are enforceable.

A) Retailed
B) Wholesale
C) Collateral
D) Consumer
E) Customized

Question 56

What does the term "parol" in the "parol evidence rule" mean?

A) Words establishing penalties
B) Speech inside the original writing
C) Words outside the original writing
D) Words excusing breach of contract
E) Untrue speech outside the original writing

Question 57

Which of the following may constitute a writing under the UCC?

A) Faxes
B) E-mails
C) Formal written contracts
D) Invoices
E) All of these

Question 58

Which of the following is the legal enforcement of an otherwise unenforceable contract due to a party's detrimental reliance on the contract?

A) Promissory estoppel
B) Substantial estoppel
C) Promissory rule
D) Reliance rule
E) Promissory reliance

Question 59

The ___________ rule is a common law rule that addresses the admissibility of oral evidence as it relates to written contracts.

A) Oral admissibility
B) Oral evidence rule
C) Parol evidence rule
D) Frauds evidence rule
E) Deficient evidence rule

Question 60

Which of the following is a contractual party who agrees to receive something from the other party?

A) Obligor
B) Obligee
C) Assignor
D) Assignee
E) Boundee

Question 61

Which of the following is most accurate regarding what may be assigned even in the presence of an antiassignment clause?

A) Assignments made by operation of law.
B) Assignments for the right to receive monetary payments.
C) Assignments for the right to receive damages for a breach of contract to sell goods or services.
D) Assignments made by operation of law, and assignments for the right to receive monetary payments, but not assignments for the right to receive damages for a breach of contract to sell goods or services.
E) Assignments made by operation of law, assignments for the right to receive monetary payments, and assignments for the right to receive damages for a breach of contract to sell goods or services.

Question 62

Which of the following states that in the case of multiple assignments of the same right, the first assignee to give notice of assignment to the obligor is the party with rights to the contract?

A) The first-assignment-in-time rule
B) The last-assignment-in-time rule
C) The English rule
D) The French rule
E) The American rule

Question 63

The ___________ in a third-party beneficiary contract is the party to the contract who made the promise that benefits the third party.

A) Promisee
B) Promisor
C) Obligor
D) Obligee
E) None of these. There are no third-party beneficiary contracts, only second-party beneficiary contracts.

Question 64

Which of the following are duties that typically cannot be delegated to a third party?

A) Mowing a yard
B) Payment of money owed
C) Delivering goods
D) Painting a house
E) Painting a portrait

Question 65

What do courts generally rule regarding ambiguous assignment language such as "I assign the contract"?

A) When ambiguous language is used, the court usually considers the assignment to be of both rights and duties.
B) When ambiguous language is used, the court usually considers the assignment to be of rights but not duties.
C) When ambiguous language is used, the court usually considers the assignment to be of duties but not rights.
D) When ambiguous language is used, the court usually considers the assignment to be void.
E) When ambiguous language is used, the court usually considers the assignment to be voidable.

Question 66

A[n] ___________ is created when two parties enter into a contract with the intended end purpose of benefiting a third party.

A) Third-party beneficiary
B) Second-party beneficiary
C) First-party beneficiary
D) Void
E) Voidable

Question 67

When parties include a[n] ___________ clause in their contract, the parties are attempting to limit their ability to assign their rights under the contract.

A) Anti-obligation
B) Antiassignment
C) Anti-contract
D) Severability
E) Integration

Question 68

A[n] ___________ beneficiary is a third party to a contract whom the contracting parties intended to benefit directly from their contract.

A) Intended
B) Incidental
C) Preferred
D) Collateral
E) Ancillary

Question 69

Which of the following is needed in order for an assignment to be valid?

A) A UCC 2-301 Form.
B) A UCC 4-305 Form.
C) A Business 2-547 Form.
D) A Business 4-298 Form.
E) No form is required.

Question 70

Which of the following is true regarding oral assignments?

A) Assignments may not be made orally.
B) The UCC requires that assignments be in writing when the amount being assigned is greater than $5,000.
C) Assignments are not covered by the statute of frauds.
D) The UCC requires that assignments be in writing when the amount being assigned is greater than $2,000.
E) Both that assignments may be made orally and that the UCC requires that assignments be in writing when the amount being assigned is greater than $1,000.

Question 71

A[n] ___________ occurs when a party to a contract transfers her duty to perform to a third party who is not part of the original contract.

A) Transfer
B) Assignment
C) Delegation
D) Performance
E) Unenforceable occurrence

Question 72

A third party who is not part of an original contract but who is transferred a duty to perform contained in the original contract is called a[n] ___________.

A) Delegatee
B) Delegator
C) Assignor
D) Assignee
E) Transferor

Question 73

Which of the following is false regarding rights of an assignee and assignor?

A) Assignees essentially fill in for the assignor as the legal recipient of contractual duties.
B) Assignees acquire the same rights as the assignor had.
C) Assignees are offered additional protection than assignors.
D) The obligor may raise any of the same defenses for nonperformance to the assignee that he would have been able to raise against the assignor.
E) When an assignor transfers rights to an assignee, the assignor legally gives up all rights she previously had to collect on the contract.

Question 74

Sally agrees to mow Paul's yard for $300 for the summer. Paul wishes to assign the contract to his grandmother. Sally objects because Paul's yard is very small while the grandmother's yard is over an acre. Which of the following is the correct legal outcome for the dispute between Sally and Paul?

A) Sally will win because Paul's attempted assignment would increase the duties to which she agreed.
B) Sally will win because all assignments are invalid without the obligor's consent.
C) Sally will win unless Paul paid her the $300 in advance in which case Paul will win.
D) Paul will win because he may validly assign the contract without Sally's consent.
E) Paul will win so long as he tells Sally about the assignment prior to the time she begins any performance whatsoever.

Question 75

At what point are assignments valid?

A) Immediately
B) One day after the assignment is made
C) Two days after the assignment is made
D) One day after notice of the assignment is given
E) None of these

Question 76

What is the term for the third party who receives an assignment of contract rights?

A) Transferor
B) Transferee
C) Relator
D) Assignor
E) Assignee

Question 77

Which of the following is an exception to the general rule that rights to a contract cannot be assigned when a contract is personal in nature?

A) When the only part of a contract left to be fulfilled is the payment.
B) When the sale of goods is involved.
C) When no more than half the contractual duties have been performed.
D) When no more than three-fourths of the contractual duties have been performed.
E) When at least one-third of the contractual duties have been performed.

Question 78

Which of the following states that in the case of multiple assignments of the same right, the first party granted the assignment is the party correctly entitled to the contractual right?

A) The first-assignment-in-time rule
B) The last-assignment-in-time rule
C) The English rule
D) The French rule
E) The American rule

Question 79

Bill contracts with Judy to wash her car and then delegates the duty to Paul. Paul fails to wash the car. Which of the following is true regarding Bill's duty to Judy, if any?

A) Bill has no duty to Judy so long as she did not expressly object to the delegation.
B) Bill has no duty to Judy regardless of whether she objected to the delegation.
C) Bill continues to be bound to Judy to see that her car gets washed.
D) Bill continues to be bound to Judy to see that her car gets washed only if the contract expressly prohibited delegation.
E) Bill continues to be bound to Judy to see that her car gets washed unless he already paid Paul for the job.

Question 80

A party to a contract who transfers her duty to perform to a third party who is not part of the original contract is called a[n] ___________.

A) Delegatee
B) Delegator
C) Assignor
D) Assignee
E) Transferor