Business Law Essentials Ch 15-18

Front 1

Contracts Within The Statute Of frauds

Back 1

1. Promises to answer for the duty of another.
2. Promises of an execture or administrator to answer personally for a duty of the decedent whose funds he is administering.
3. Agreements upon consideration of marriage.
4. Agreements for the transfer of an interest in land.
5. Agrements not to be performed with in one year.

Front 2

Explain Writing necessary under Statue of frauds.

Back 2

Most states require that contracts be evidenced by writing. Ex: Wills, sale of securities, contracts for sale of all other personal property for more than $5000.

Front 3

Suretyship Provision

Back 3

Promise to pay debts of another.

Front 4

Surety

Back 4

person who promises to pay debt of another.

Front 5

Principal Debtor

Back 5

Person whose debt is being supported.

Front 6

Collateral Promise

Back 6

Undertaking to be secondarily liable (liable if principal debtor does not perform).

Front 7

Original Promise

Back 7

Promise to become primarily liable.

Front 8

Main Purpose

Back 8

Object of promisor is to provide an economic benefit

Front 9

General Contract Provisions

Back 9

The writings must specify the parties to the contract.

Specify the subject matter and essential terms.

Be signed by the party to be charged or by her agent.

Front 10

Sale of Goods Writings Must...

Back 10

Be sufficient to indicate that a contract has been made between the parties.

Be signed by the party against whom enforcement is sought.

Specify the quantity of goods to be sold.

Front 11

Written Confirmation

Back 11

A confirmation sufficient against the sender is sufficient against the recipient unless the recipient gives written notice with in 10 days.

Front 12

Definition of Assignment

Back 12

Voluntary transfer to a third party of the rights arising froma contract so that the assignor's right to performance is extinguished.

Front 13

Assignor

Back 13

Party making an assignment

Front 14

Assignee

Back 14

Party to whom contract rights are assigned

Front 15

Obligor

Back 15

Party Owing a duty to the assignor under the original contract.

Front 16

Obligee

Back 16

Party to whom a duty of performance is owed under a contract.

Front 17

requirements of an Assignment

Back 17

Intent but not consideration.

Front 18

revocability of assignment

Back 18

when assignee gives consideration, the assignor may not revoke the assignment without the assingee's consent

Front 19

Partial Assignment

Back 19

Transfer of a portion of contractual rights to one or more assignees.

Front 20

Most Contracts are Assignable Except?

Back 20

Assignments that materially increase the duty, risk, or burden upon the obligor.

Assignments of personal rights.

Assignments expressly forbidden by the contract.

Assignments prohibited by law.

Front 21

Intended Beneficiaries

Back 21

Third parties inteded by the two contracting parties to recieve a benefit from their contract.

Front 22

Donee Beneficiary

Back 22

A third party intended to receive a benefit from the contract as a gift.

Front 23

Creditor Beneficiary

Back 23

third person intended to recieve a benefit from the contract to satisfy a legal duty owed to him.

Front 24

Incidental beneficiary

Back 24

third party whom the two parties to the contract have no intention of benefiting by their contract and who acquires no rights under the contract.

Front 25

Delegation of Duties Under Contract

Back 25

Transfer of a contractual obligation to a third party.

Front 26

Delegator, delagatee, obligee.

Back 26

Main guy, (he's A and sells car to B and C delivers it.) B is Obligee and C is Delagatee.

Front 27

Novation

Back 27

Contract to which the promisee is a party, substituting a new promisor, who is consequently no longer liable on the original contract and is not liable as a delegator.

Front 28

Express Condition

Back 28

Contingency explicitly set forth in language.

Front 29

Satisfaction

Back 29

Express condition making performance contingent on one partys approval of the others performance.

Front 30

Subjective Satisfaction

Back 30

Approval based on a party's hoonestly held opinion.

Front 31

Objective Satisfaction

Back 31

Approval based on whether a reasonable person would be satisfied.

Front 32

Concurrent Conditions

Back 32

conditions take place at the same time. (during deal)

Front 33

Conditions Precedent

Back 33

An event that must or must not occur before performance is due. (before deal)

Front 34

Condition Subsequent

Back 34

An event that terminates a duty of performance. (after deal)

Front 35

Implied In fact Condition

Back 35

Contingency understood by the parties to be part of the agreement though not expressed.

Front 36

Implied In Law condition

Back 36

contingency not contained in the language of the contract but imposed by law; also called a constructive condition.

Front 37

Substantial Performace

Back 37

Its been mostly done, 6 inch of paint not done. Only breach of contract if its purple paint and not white.

Front 38

Antisipatory breach

Back 38

Breaching fast because you know you can't do what you said you could.

Front 39

Compensatory Damages

Back 39

Contract damages placing the injuted party in a position as good as the one he would have held had the other party performed. = Loss of value - loss avoided by injured party + incidental damages + consequential damages.

Front 40

Punitive Damages

Back 40

Generally not recoverable for breach of contract

Front 41

Nominal damages

Back 41

A small sum awarded where a contract has been breached but the loss is negligible or unproved.

Front 42

Liquidated Damages

Back 42

reasonable damages agreed to in advance by the parties to a contract.

Front 43

Incidental damages

Back 43

Damages arising directly out of breach of contract

Front 44

Consequential damages

Back 44

damages not arising directly out of a breach but arising as a forseaable result of the breach.

Front 45

Out of Pocket DMG

Back 45

value given - value recieved.

Front 46

Benefit of the bargain damages

Back 46

diffrence between the value of the fraudulent party's performance as represented and the value the defrauded party recieved.