Fin 205-Chapter 11-15 Vocab

Front 1

Contract

Back 1

A legally enforceable agreement or promise

Front 2

Bilateral contract

Back 2

A promise made in exchange for another promise

Front 3

Unilateral Contract

Back 3

one party makes a promise that the other party can accept only by actually doing something

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Executory Contract

Back 4

An agreement in which one or more parties has not yet fulfilled its obligations

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Executed Contract

Back 5

An agreement in which all parties have fulfilled their obligations

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Valid Contract

Back 6

a contract that satisfies all of the law's requirements

Front 7

Unenforceable agreement

Back 7

occurs when the parties intend to form a valid bargain, but a court declares some rule of law prevents enforcing it.

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Expressed Contract

Back 8

An agreement with all the important terms explicitly stated (oral or written)

Front 9

Implied Contract

Back 9

the words and conduct of the parties indicate that they intended an agreement

Front 10

Promissory Estoppel

Back 10

A possible remedy for an injured plaintiff in a case with no valid contract, when the plaintiff can show a promise, reasonable reliance and injustice.

Front 11

Quasi-Contract

Back 11

A possible remedy for an injured plaintiff in a case with no valid contract, when the plaintiff can show benefit to the defendant, reasonable expectation of payment, and unjust enrichment

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Offer

Back 12

An act or statement that proposes definite terms and permits the other party to create a contract by accepting those terms.

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Offeror

Back 13

The person who makes an offer

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Offeree

Back 14

The person to whom an offer is made

Front 15

Consumer Protection Statute

Back 15

Laws protecting consumers from fraud

Front 16

Gap-filler Provisions

Back 16

UCC rules for supplying missing terms

Front 17

Output Contract

Back 17

Obligates the seller to sell all of his output to the buyer, who agrees to accept it

Front 18

Requirements Contract

Back 18

Obligates a buyer to obtain all of his need goods from the seller

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Revoke

Back 19

Offeror takes back

Front 20

Counteroffer

Back 20

A different proposal made in response to an original offer

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Mirror image rule

Back 21

Requires that acceptance be on precisely the same terms as the offer

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Mailbox Rule

Back 22

Acceptance is generally effective upon dispatch. Terminations are effective when received.

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Consideration

Back 23

the inducement, price or promise that causes a person to enter into a contract and forms the basis for the parties' exchange

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Act

Back 24

Any action that a party was not legally required to take in the first place

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Forbearance

Back 25

Refraining from doing something that one has a legal right to do

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Bargained for

Back 26

When something is sought by the promisor and given by the promise in exchange for their promise

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Rescind

Back 27

to cancel

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Liquidated Debt

Back 28

A debt in which there is no dispute about the amount owed

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Unliquidated

Back 29

A debt that is disputed because the parties disagree over its existence or amount

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Exculpatory Clause

Back 30

A contract provision that attempts to release one party from liability int he event the other is injured

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Bailment

Back 31

giving posession and control of personal property to another person

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Bailor

Back 32

one who creates a bailment by delivering goods to another

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Bailee

Back 33

A person who rightfully possesses goods belonging to another

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Procedural Unconscionability

Back 34

one party uses its superior power to force a contract on the weaker party

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Substantive Unconscionability

Back 35

A contract with extremely one-sided and unfair terms

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Adhesion Contracts

Back 36

Standard form contracts prepared by one party and presented to the other on a "take it or leave it" bases

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Disaffirm

Back 37

To give notice of refusal to be bound by an agreement

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Restitution

Back 38

Restoring an injured party to its original position

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Ratification

Back 39

Words or actions indicating an intention to be bound by a contract

Front 40

Unilateral Mistake

Back 40

Occurs when only one party enters a contract under a mistaken assumption

Front 41

Duress

Back 41

An improper threat made to force another party to enter into a contract