Exam 20: The Formation of Sales and Lease Contracts

Nemo pays Office Supply Company $1,500 for a laptop com?puter. Under the UCC, this is

Gail enters into a contract with Hi-Price Appliances, Inc. In a suit be?tween the parties over payment under the contract, Gail claims that a certain clause is unconscionable. If the court agrees, it may

Overseas Corporation (OC), a U.S. firm, orally agrees to sell six freezers to Pisa Pizza, Ltd., in Italy. OC fails to deliver. Under the CISG, Pisa Pizza can

Under the UCC, a merchant who sells one type of good will be considered a merchant for any other type of good that he or she may sell.

In a dispute over a sale involving a bicycle, Dain argues that as to this deal Elle's Hobby Shop, where Dain bought the bike, is a merchant. A court may determine whether Elle's is a merchant by assessing whether

If a contract for a sale of goods omits a price term, a reasonable price for the goods can be determined by looking at the market for them.

In a contract in which goods and services are combined, the contract is al?ways considered an agreement for the sale of goods.

If a contract for a sale of goods does not include the delivery date, there is no basis for enforcing it.

Contractors Construction Corporation offers to buy from Dandy Cement Company a certain quantity of cement for a certain price. Dandy can ac?cept the offer by

Timber Products, Inc., and Walt, a consumer, enter into a contract for a sale of plywood. If the contract includes a clause that is perceived as grossly unfair to Walt, its enforcement may be challenged under the doc?trine of

A lessee is a party who transfers a right to the possession and use of goods under a lease.

Two parties' prior dealing may be considered to resolve an ambiguity in a contract between them.

On September 1, Jennings, a used-car dealer, wrote a letter to Wheeler in which he stated, "I have a 1955 Thunderbird convertible in mint condition that I will sell you for $13,500 at any time before October 9. [signed] Jennings." By September 15, having heard nothing from Wheeler, Jennings sold the Thunderbird to another party. On September 29, Wheeler accepted Jennings's offer and tendered the $13,500. When Jennings told Wheeler he had sold the car to another party, Wheeler claimed Jennings had breached their contract. Is Jennings in breach? Explain.

Under the mirror image rule, an offer must be accepted in its entirety without modi?fication or reservation or else no contract can be formed.

Best Sales, Inc., is the offeror and City Goods Corporation is the offeree under a unilateral sales contract in which Delta Products Company is also interested. Best is not notified of City's performance within a rea?son?able time. Best

If a nonmerchant's offer expressly conditions acceptance on a nonmer?chant's agreement to the terms of the offer, a positive response may con?sti?tute an acceptance even if it contains additional terms.

In Case 20.3, Jones v. Star Credit Corp., which of the following factors was not considered by the court when it declared a contract for the pur?chase of a freezer unconscionable

Variety Goods, Inc., and World Sales Corporation enter into a contract that does not specify the payment terms. Payment may be made in

A consumer lease is excepted from coverage under the UCC.

A copyright is an example of property that does not come under Article 2.