Reading...
Play button
Play button
Use LEFT and RIGHT arrow keys to navigate between flashcards;
Use UP and DOWN arrow keys to flip the card;
H to show hint;
A reads text to speech;
30 Cards in this Set
- Front
- Back
|
Requirements = offer, acceptance, consideration, capacity, and legality
|
The common law of contracts
|
|
|
governs the sale of goods.
|
Uniform Commercial Code (UCC)
|
|
|
promise for a promise
|
Bilateral
|
|
|
promise for an act
|
Unilateral
|
|
|
= the terms of the agreement are fully stated in words, oral or written.
|
Express contract
|
|
|
conduct of the parties defines the terms of the contract.
|
Implied-in-fact contract
|
|
|
fully performed
|
executed contract
|
|
|
not fully performed
|
executory contract
|
|
|
offer, acceptance, consideration, capacity, legality.
|
Valid contract
|
|
|
no contract at all
|
Void contract
|
|
|
= valid contract that can be avoided by one or both of the parties.
|
Voidable contract
|
|
|
cannot be enforced
|
Unenforceable contract
|
|
|
promise to perform or not perform an act.
|
Requirements of the offer
|
|
|
- Lucy wanted to buy the Zehmer’s farm. At a bar, Zehmer wrote a sales contract on the back of a napkin to sell his farm to Lucy. Zehmer’s wife signed it also. Lucy sued to enforce the contract. Zehmer said he was intoxicated.
TC - Zehmer won SC – Lucy won. It was an enforceable contract because actions showed intention for a contract. |
Lucy v. Zehmer
|
|
|
the only term required by the UCC is the quantity term. UCC will supply missing price and payment terms.
|
Certain and definite terms
|
|
|
the only term required by the UCC is the quantity term. UCC will supply missing price and payment terms.
|
Certain and definite terms
|
|
|
If a man finds a missing dog and returns it to the owner, the man is not entitled to the reward if he didn’t know of the reward beforehand. Court might give the award based on equity, but not based on contract.
|
Communicated to offeree
|
|
|
revocation by words or actions, or a counteroffer.
|
Termination by action of the parties
|
|
|
time period passed. (reasonable time) or item destroyed or offeror or offeree dies (unless irrevocable).
|
Termination by operation of law -
|
|
|
words or conduct to show agreement
|
Acceptance of the Offer
|
|
|
mirror image rule - acceptance terms must match the offeror’s terms.
|
Unequivocal acceptance
|
|
|
In a bilateral contract, notification of acceptance is necessary. In a unilateral contract, it is not.
|
Communication of acceptance
|
|
|
acceptance when mailed, revocation when received.
|
Mailbox rule
|
|
|
no prior legal duty, refrain from a legal right)
|
Legally sufficient value
|
|
|
basis of the bargain (Otherwise, a gift)
|
Bargained-for exchange
|
|
|
sheriff, contractor (court may excuse if unforseen difficulties).
|
Preexisting duty
|
|
|
unenforceable, seen as a gift
|
Past consideration
|
|
|
contract voidable by minor during minority or a reasonable time after majority.
|
Disaffirmance
|
|
|
return goods or other consideration even if broken or in the hands of a third party.
Minor may dissaffirm contract for necessaries (food, clothing, shelter, or medical services required to maintain a standard of living) but will still be liable for the reasonable value of the goods. |
Minor’s obligations on disaffirmance
|
|
|
accepting an obligation that previously was not enforceable. (Minor can ratify (express or implied) after majority age.)
|
Ratification
|
