Exam 10: Defenses to Contract Enforceability

A contract must be in writing to be enforceable if it makes performance possible only over a period of more than one year.​

Fact Pattern 10-2 In selling a commercial building, Riley tells Sam that the property has a certain capacity, making it suitable for a nightclub. Riley knows nothing about the capacity of the building, but it is not as he specifies. Sam buys the building. ​ -Refer to Fact Pattern 10-2. On learning the truth, Sam confronts Riley, who says he was not trying to fool Sam-he was only trying to make a sale. This is​

Evidence of prior agreements that differ from the written terms of a contract can be introduced in court to contradict the contract.​

Physicians Clinic orders by phone seven boxes of single-use latex gloves from Quality Medical Supplies, Inc. After three boxes are delivered and accepted, Physicians Clinic repudiates the contract. Quality Medical can enforce the contract to​

Mona is induced by her guardian Newt to sign a contract to invest her student loan funds in OptiBank through Newt's investment firm. Unknown to Mona, Newt realizes a commission from the investment. Most likely, Mona may rescind the contract on the basis of​

​To be enforceable, a writing evidencing an oral contract must have been signed by the party who seeks to enforce it.

Misrepresentation cannot occur by silence.​

Any party who does not receive what he or she considers a fair bargain can rescind the deal on the basis of mistake.​

Dix agrees to sell Eli, for $1,500, a remote parcel of land. They believe the land to be worthless, but beneath it is shale rock containing oil. A court would​

Don enters into a contract with Eve, who claims to have access to a stock-trading algorithm that will multiply an investment many times over. When the results do not match this promise, Don learns that Eve does not have access to any unique software and files a suit, alleging fraud. Proof of an injury is required to​

Pumps, Inc., agrees to assume a debt of Quality Parts Company to Reliable Finance LP. The agreement is not in writing. To be enforceable, the promise must be for the benefit of​

Fact Pattern 10-2 In selling a commercial building, Riley tells Sam that the property has a certain capacity, making it suitable for a nightclub. Riley knows nothing about the capacity of the building, but it is not as he specifies. Sam buys the building. ​ -​Refer to Fact Pattern 10-2. Under these circumstances, Sam's best course of action is most likely to

Flora enters into a contract with Global Shipping, Ltd., to insure and ship a painting from France to the United States for a certain price. Global makes a mistake in adding the costs, which results in a contract price that is $1,000 less than the true cost. Most likely, a court would​

A contract involving interests in property of any kind must be in writing to be enforceable.​

A seller's attempt to conceal a fact that is material to a contract can give rise to an action for fraud.​

Moe threatens physical harm to force Norel to contract to pay him for protecting her store against vandalism and destruction. Norel may​

In a transaction for the sale of an auto painting facility, Bright Auto Colors Company tells Custom Cars Corporation that the paints and other supplies on-site are included. The contract says nothing about the supplies on-site, but does state, "This document supersedes all oral promises relating to the sale." Are the supplies part of the sale? Why or why not?​

Duress is a possible ground for rescission of a contract.​

To be enforceable, a memorandum evidencing an oral contract must include the essential terms.​

A unilateral mistake always gives the mistaken party a right to relief from the contract.​