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150 Cards in this Set

  • Front
  • Back

Breech of duty


3 types


1 other

violation of statute


custom or usage


res ipsa loquitur


prove someone fails to act as a prudently careful person

breech of duty


violation of statute example

going over the speed limit and causing an accident

breech of duty


violation of a statute


per se meaning

negligence is guilty no matter what

breech of duty


custom or usage

does not have proof a statute was broken

breech of duty


custom or usage examples

accident happens that could have been prevent by a back up camera. Person sues dealership for not installing camera



person is sick and doc decides against $$$$ test and you have that disease

breech of duty


res ipsa loquitur charecteristics

exclusive control of the D


normally wouldn't happen without negligence


no other cause

breech of duty


res ipsa loquitur example

doc in surgery leaves something in the patient

causation


cause in fact

defendant's conduct was the actual cause of, or a substantial factor in causing the injury

causation


4 types

but for causation


substantial factor test


no causation if unforeseeable consequences result


no causation is superseding cause results/yes causation if merely intervening

causation


but for test

act or omission is CFI of another when the 2nd act would not have occurred but for the 1st

causation


but for test


example

person not putting in fire escape and person dies trying to get out of the top floor

causation


substantial factor test

several causes concur to bring about an injury, and any one alone would have been sufficient to cause injury, then CFI if D's conduct was a substantial factor

causation


substantial factor test


example

2 people hit one person in cars

causation


no causation is superseding cause results/yes causation if merely intervening

cause occurs after the D's negligent conduct and relieves D of liability

causation


no causation is superseding cause results/yes causation if merely intervening


example

huge hole in the road and the road is blocked off and there are signs.


night is an intervening cause and man cant see sign.


another man throws man in hole, criminal act and is a superseding cause


eggshell plantiff rule

if P had no reason to know he was weak, D is still liable

must have ___________ to prevail in a negligence suit

damages

defense to negligence


contributory negligence

failure of a plaintiff to exercise reasonable care to the extent that the plaintiff's failure is the legal cause of the plaintiff's harm

defense to negligence


contributory negligence


last clear chance (__________ peril)



not a valid defense in AR if

discovered


not a valid defense in AR if D put P in situation

defense to negligence


comparative fault

fault of P and D are connected, and P's recovery is reduced in proportion to his fault

defense to negligence


comparative fault


equal to or greater than limitation

no recovery if P is 50% or more responsible

defense to negligence


comparative fault


multiple defendants

joint and several liability


- contribution

defense to negligence


assumption of risk


2 types

express


implied

defense to negligence


assumption of risk


express


generally by a ________


_______ clause

generally by contract, but not always


-exculpatory clause

defense to negligence


assumption of risk


implied


idea often merged with _____

this idea is often merged with contributory negligence and comparative fault analysis

contract

legally enforceable promise or set of promises

types of contracts


classified by

classified by formation


classified by how they are accepted

types of contracts


classified by formation

express


implied


quasi contract

types of contracts


classified by formation


express

language (written)

types of contracts


classified by formation


implied

conduct (pump gas then pay, eat at restaurant with no price on menu)

types of contracts


classified by formation


quasi contract

not a contract, but a way to avoid unjust enrichment (contractor builds most of a house but stops. he gets partial compensation)

types of contracts


classified by how they are accepted

bilateral


unilateral

types of contracts


classified by how they are accepted


bilateral _______ for a _______


ex

promise for a promise


teachers at obu- teach for $, promise made in April for the next fall, no act yet but promise exchange

types of contracts


classified by how they are accepted


unilateral ___________ for a _________


offer to the _______ clearly ________

act for a promise


offer clearly indicates performance is the only manner of acceptance


offer to the public clearly contemplating acceptance by performance

types of contracts


classified by how they are accepted


unilateral


example

man will pay first person to come mow his lawn. man not looking for a promise of another, but an act

void def and example

has no legal affect from the beginning


agreement to commit a crime

voidable def and example

one party may elect to avoid or ratify


-contract by a minor without capacity



person under anesthetics, person can decide to stand by contract after they ware off

unenforceable

otherwise valid, but some defense exists to prevent formation


-statute of frauds- requires contracts to be in writing before enforceable

elements of a contract

mutual assent


consideration


no defense to formation

elements of a contract


mutual assent


determined by

determined by an objective standard

elements of a contract


mutual assent


offer steps:


expression of ____,_____ or ____ to enter into a contract


_____ and _____ in its terms


communicated to the ________

expression of promise, undertaking, or commitment to enter into a contract


definite and certain in its terms


communicated to the offeree


how is an offer terminated?

elements of a contract


mutual assent


offer


expression of promise, undertaking, or commitment to enter into a contract


step elements

language used


surrounding circumstances


method of communication


prior relationship between parties


custom in the industry

elements of a contract


mutual assent


offer


definite and certain in its terms


step elements

quantity, price, duration of term

elements of a contract


mutual assent


how is an offer terminated

acts of parties


operation of law

elements of a contract


mutual assent


how is an offer terminated


acts of parties


terminated by the

terminated by the offeror


terminated by the offeree

elements of a contract


mutual assent


how is an offer terminated


acts of parties


terminated by the offeror:______


effective when?


may be revoked when?


revocation


effective when received


generally offers that are not supported by consideration, with no reasonable detrimental reliance and are not firm offers under the UCC may be revoked at any time prior to acceptance

elements of a contract


mutual assent


how is an offer terminated


acts of parties


terminated by the offerer

express rejection, counter offer, or lapse of time


effective when recieved

elements of a contract


mutual assent


how is an offer terminated


operation of law


3 ways

death or insanity of either party


destruction of contract's subject matter


supervening illegality

elements of a contract


mutual assent


acceptance requires


3 things

offeree with power of acceptance


unequivocal terms of acceptance


communication of acceptance

elements of a contract


mutual assent


acceptance requires


offeree with power of acceptance

must be a member of the class to whom the offer was made

elements of a contract


mutual assent


acceptance requires


unequivocal terms of acceptance


under two groups

common law


UCC rules

elements of a contract


mutual assent


acceptance requires


unequivocal terms of acceptance


common law

acceptance must mirror the offer's terms- mirror image rule

elements of a contract


mutual assent


acceptance requires


unequivocal terms of acceptance


UCC rules

need not mirror the offer's terms

ucc

uniform comercial code

elements of a contract


mutual assent


acceptance requires


unequivocal terms of acceptance


ucc rules


if one party is non merchant,_______


if both parties are merchant, ______

if one party is a nonmerchant, terms of offer govern


if both parties are merchant, then new terms become part of contract unless

elements of a contract


mutual assent


acceptance requires


unequivocal terms of acceptance


ucc rules


if both parties are merchant, then new terms become part of contract unless

they materially alter the agreement- offer to buy shoes using UPS, accept using FedEx


the offer expressly limits acceptance to terms of offer


offeror had already objected to new or different terms

elements of a contract


mutual assent


acceptance requires


communication of acceptance


__________ means


acceptance on ________

any reasonable means


acceptance on dispatch

elements of a contract


consideration


the thing that ______________


difference btwn ______ and ______

the thing that makes a contract stick


difference between promise and promise legally binding

elements of a contract


no defense to formation


divided into two groups

legality of object


capacity

what to look for in a contract


4 things

1.length-want it short


-opt out- w/out cause, gives incentive for party to do well


2. employee or independent contractor


3.liquidated damages-if you get out of contract, will have to pay a ton of $$$


4.indemnity-to pay someone else's losses

consideration elements


2 things

legal sufficiency (something of value in the law- nothing to do with adequacy of consideration)


bargained for exchange

consideration


legal sufficiency


must be a __________


law will not ________

must be a legal detriment to the promisee or a legal benefit to the promisor


law will not bail you out if you make a bad deal

legal detriment

doing something you had no legal obligation to do


refrain from doing something you had the legal right to do

unilateral contract


def and example

promise is exchanged for an act


have only 1 promisor and 1 promisee



man says "first to fix my deck gets paid"


bilateral contract

exchange of a promise for a promise


have 2 promisors and 2 promisees

mutuality of obligation


example

promise of mcKinney's mom not to sue for promise of restaurant to pay

distinguish legal sufficiency from contracts not supported by

consideration

illusory promise

not supported by consideration b/c they impose no obligation on the promisor



i'll buy as much as i desire, want or wish to buy- not detriment bc no legal detriment was suffered

illusory promise is not _____ bc it is supported by consideration


output contract

i'll sell you everything i have


seller suffers leg. detr.

illusory promise is not _____ bc it is supported by consideration


requirements contracts

i'll buy everything i need from you


team buy their suppliers from merchant


only buy as many uniforms as needed


illusory promise is not _____ bc it is supported by consideration


UCC imposes

good faith limitation on quantity for output and requirement contract

illusory promise is not _____ bc it is supported by consideration


exclusive dealing contracts

mfr of goods grants distributor exclusive right to sell its products in designated market

illusory promise is not _____ bc it is supported by consideration


conditional promise

a promise that is conditioned upon the something happening that is not certain to happen


unless a promisor knows it wont happen

illusory promise is not _____ bc it is supported by consideration


conditional promise example


and violation of promise

buy a house on the condition of ability to finance and approval of sale price



bob pays jim and sally for them to name next biological baby after him, they cant have kids but take his money

preexisting public obligations


def and example

public duty does not arise out of contract, it simply exists


ed threatens to stel bob's car. bob promises to pay ed $100 in exchange for ed's promise to not steal car.


no consideration bc tort and criminal law impose a preexisting public obligation to refrain from such abuse

preexisting contractual obligation

performance of a preexisting contractual duty not consideration

modification of a preexisting contract

under common law, modification must be supported by mutual consideration


UCC contract can be modified w/out new consideration (if both intend to make modification in good faith)

settlement of an undisputed debt

settlement of a lesser sum of money does not constitute legally sufficient consideration

settlement of a disputed debt


def and ex

payment of lesser sum to discharge a disputed debt is consideration if accepted



mckinney sending $100 check to phone company and stating Paid In Full

bargained for exchange


both parties _____ and _____ to give or give up ____

both parties intended and mutually agreed to give or give up consideration

bargained for exchange


past consideration


def and ex

unbargained for past actions


find and return dog then find out there was a reward

2 types of illegal bargains/agreements

agreement in violation of a statute


agreement contrary to public policy

illegal bargain/agreement


agreement in violation of a statute


4 things

licensing


gambling


usury


sunday

illegal bargain/agreement


agreement in violation of a statute


licensing statute

regulatory


revenue

illegal bargain/agreement


agreement in violation of a statute


licensing statute


regulatory

law, doc, contractor, lawyer


protects public from incompetent or dishonest service


may not enforce agreements



if a license isn't current, dont have to pay if you back out

illegal bargain/agreement


agreement in violation of a statute


licensing statute


revenue

raises money


may enforce agreement


pay to have the license

illegal bargain/agreement


agreement in violation of a statute


gambling statute

one wins and loses depending on one event

illegal bargain/agreement


agreement in violation of a statute


usury statute

sets a maximum rate of interest that may be charged by a lender


trend is to relax these rules


-in large part bc of the German Leach Bliley Act, but doesn't cover non bank lender


illegal bargain/agreement


agreement in violation of a statute


usury statute


3 penalties

lose all principle and interest


lose all interest


lose portion above legal limit

illegal bargain/agreement


agreement in violation of a statute


sunday statute/blue laws

prohibit certain types of activity on Sunday



cant buy alcohol or show a movie

illegal bargain/agreement


agreement contrary to public policy

restraint in trade


exculpatory clause


unconscionable agreement

illegal bargain/agreement


agreement contrary to public policy


restraint in trade

covenants not to compete


in the sale of a business


in employment context


-reasonable in time, geography, type of work

illegal bargain/agreement


agreement contrary to public policy


exculpatory clause

excuse one party from fault or liability


cannot excuse intentional or reckless conduct


can excuse negligent conduct, but will be scrutinized very closely


-must be knowingly and voluntarily signed

illegal bargain/agreement


agreement contrary to public policy


unconscionable agreements

procedural


substantive

illegal bargain/agreement


agreement contrary to public policy


unconscionable agreements


procedural

bargaining process is bad


person can win if they were coerced


taken advantage of

illegal bargain/agreement


agreement contrary to public policy


unconscionable agreements


substansive

actual terms of agreement are bad


person can never win because they made a bad deal


law wont bail them out

defense to formation


absence of mutual assent


5 mistakes

mutual mistake


unilateral mistake


mistake by intermediary


latent ambiguity mistake


misrepresentation or fraud

defense to formation


absence of mutual assent


5 mistakes


mutual mistake is a defense if

1.mistake concerns a basic assumption on which the contract was made


2.mistake had a material adverse effect on the agreed upon exchange


3.the adversely affected party did not assume the risk of the mistake

defense to formation


absence of mutual assent


5 mistakes


mutual mistake example

thinking you are buying a diamond from a person at a garage sale who also thought it was a diamond too.

defense to formation


absence of mutual assent


5 mistakes


unilateral mistake example


generally _______ to make a contract voidable

college student talking to a landlord and both know that he will move out at end of year, sign a one year contract and has to pay the extra months



insufficent

defense to formation


absence of mutual assent


5 mistakes


mistake by intermediary example


texting and say something wrong but believable

defense to formation


absence of mutual assent


5 mistakes


latent ambiguity mistakes


3 kinds

neither party is aware- no K unless both intended same meaning


both parties are aware -no K unless both intended same meaning

one party is aware- binding K based on what ignorant party reasonably believed to be meaning of ambiguous words

defense to formation


absence of mutual assent


5 mistakes


latent ambiguity mistakes example

A ship states it will make delivery at the customary time, the ship delivers in the fall and spring

defense to formation


absence of mutual assent


5 mistakes


misrepresentation or fraud: Must_____


generally _______ defense that prevents mutual assent

go to a material factor in the contract


be reasonable reliance for negligent representation


valid

defense based on lack of capacity


3 kinds

minor


mentally incapacity


intoxicated person

defense based on lack of capacity


minor


business deal "_________" with minor

at their peril


17 yr. old can back out of a deal, bit the company cant

defense based on lack of capacity


minor


contracts with minors are binding on adult party,__________


may be __________ by majority

voidable by minor


affirmed/ratified

defense based on lack of capacity

minorexceptions

necessity- minor must pay reasonable value of necessity


statutory exception- insurance contracts, student loans

defense based on lack of capacity


mental incapacity


these contracts are _____ by the incapacitated person

not simply a lack of average intelligence, one is incapable of understanding the nature and significance of a contract


voidable

defense based on lack of capacity


mental incapacity


lucid intervals and example

may disaffirm or affirm during a lucid interval



will case 2 daughters and a son

defense based on lack of capacity


intoxicated person


these contracts are __________

voidable if the other party had reason to know of the drunk's intoxication

defense based on lack of capacity


intoxicated person


3 parts

drunk will be liable for necessities


intoxicated person may affirm the contract upon recovery


voluntary drunks treated less favorably than involuntary drunks

other defenses to enforcement of a contract


statute frauds


7 kinds


1.executor or administrator promises to PERSONALLY pay debts of estate


2.suretyship promise


3. promise in consideration of marriage


4. interest in land


5.performance not capable of being completed


within one year


6. goods priced at $500 or more


7.requirements of the statute of frauds

other defenses to enforcement of a contract


statute frauds


interest in land


1.leases for more than one year


2.easement of more than one year


3.fixture


4.timber, materials, or other structures if they are to be severed by the buyer


-if severed by seller, not an interest in land


5. mortgages and most other security lines

other defenses to enforcement of a contract


statute frauds


suretyship promise (to ____________)- assuming____

pay the debts of another



the main purpose isn't in the pecuniary interest of the promisor

other defenses to enforcement of a contract


statute frauds


performance not capable of being completed within one year


the date of agreement is the _______

effective date

other defenses to enforcement of a contract


statute frauds


performance not capable of being completed within one year


possibility of being completed in one year_______


examples

need not be in writing


be a nurse until recovery


be employee until you die


be employee for 53 weeks

other defenses to enforcement of a contract


statute frauds


performance not capable of being completed within one year


when the parties have the right to terminate within one year, courts are split


majority says

terminating within one year is non-performance, thus is not performance within one year, contract within SOF

other defenses to enforcement of a contract


statute frauds


performance not capable of being completed within one year


when the parties have the right to terminate within one year, courts are split


minority says

since the contract may be terminated by either party, it is not within SOF

other defenses to enforcement of a contract


statute frauds


goods priced at $500 or more


must and exceptions

must be evidence by a writing or the contract is not enforceable



specially manufactured goods for buyer, not suitable for sale to others


admission in pleading for court


written confirmation btwn merchants

other defenses to enforcement of a contract


statute frauds


requirements for the statute of frauds


under common law


identity of the party sought to be charged


id of the contract's subject matter


terms and conditions of the subject matter


recital of consideration


signature of the party to be charged

other defenses to enforcement of a contract


statute frauds


requirements for the statute of frauds


under UCC

quantity


signature of the party to be charged


a writing "sufficient to indicate" that a contract was formed- reciept

easement

the right to go across someone's yard and not own it

most likely to get sued for

negligence and breech of contract

when does a breech occur


2 options


-2nd option has 2 options

promisor is under an absolute duty to preform


promisor fails to preform as promised


-didnt preform at all


-preformed in part or poorly

kind of breech options 2

material or minor

kind of breech


material breech


non breeching party______

does not receive the substantial benefit of the bargain

kind of breech


material breech


consequences of a material breech


non breeching party may


two things

treat the contract as at an end (duty of counter performance is discharged)



immediately pursue all remedies for breach of the entire contract

kind of breach


minor breach


aggrieved party may_____

recover damages, but must still perform under the contract

timeliness of performance


generally not a material breech if

performance is rendered within a reasonable time

timeliness of performance


is a material breach if

the contract provides that "time is of the essence"

what are the remedies for a breach of contract


5 optins

standard damages


liquidated damages


specific performance


rescission


restitution

what are the remedies for a breach of contract


standard damages


3 types

compensatory


nominal


punitive

what are the remedies for a breach of contract


standard damages


compensatory: goal is to_____

put the non breaching party back into as good a position as they would have been in had the other party no breahed

what are the remedies for a breach of contract


standard damages


compensatory


2 kinds

standard measure


consequential damages

what are the remedies for a breach of contract


standard damages


compensatory


standard measure (_______)


remember which case

cost of a substitute


circuit city- employer require employee to arbitrate issues

what are the remedies for a breach of contract


standard damages


compensatory


standard measure


employment contract breaches


2 kinds

employer breach


employee breach

what are the remedies for a breach of contract


standard damages


compensatory


standard measure


employment contract breach


employer breaches- what is required


duty to _______ damages


if party doesn't "above blank"______

full contract price less money earned elsewhere



duty to mitigate



damages will be reduced by the amount that would have been avoided by mitigation


what are the remedies for a breach of contract


standard damages


compensatory


standard measure


employment contract breach


employee breach

cost to replace the employee

what are the remedies for a breach of contract


standard damages


compensatory


consequential damages

in addition to standard measure damages if foreseeable at the time the contract was entered

what are the remedies for a breach of contract


standard damages


compensatory


nominal

moral victory


gets $1


breach occurred but no actual loss is proven

what are the remedies for a breach of contract


standard damages


compensatory


punative

designed to punish the wrongdoer


generally not awarded in contract cases



most likely seen in insurance cases

what are the remedies for a breach of contract


standard damages


liquidated damages


will be upheld if: 3 things

damages were difficult to ascertain at teh time the contract was formed


the amount agreed upon was a reasonable forecast of compensatory damages


if above 2 scenarios are not present, the courts will construe the liquidated damages provision as a penalty and refuse to enforce it

what are the remedies for a breach of contract


standard damages


specific performance- def and what it works for and what it does not

make the non preforming party preform



generally works for land and unique goods


doesnt work for services

what are the remedies for a breach of contract


standard damages


recission

non breaching party cancels the contract and sues for damages

what are the remedies for a breach of contract


standard damages


restitution

if non breaching party conferred a benefit to the breacher while attempting to perform, the non breaching party is entitled to restitution for the benefit transferred

why is it so important to know what kind of breach it is?

in material breach, it relieves the non breaching party of counter preformance

exculpatory clause


question: if I willingly drive you to airport.....reckless


the court will

not enforce because it violates public policy

exculpatory clause


question: if I willingly drive you to airport.....negligence


the court will

scrutinize, but enforce

most contract law is

common law