Exam 7: Contracts

Which of the following is a technique by which a new party is substituted for one of the old parties,and a new contract is written (with the consent of all old and new parties)to effect the desired change?

Helen tells her nephew,Bernard,that she will pay him $100 if he will stop smoking for six months.Helen was hopeful that if Bernard stopped smoking for six months,he would stop altogether.Bernard stops smoking for six months but then resumes his smoking.Helen will not pay him.She says that the type of promise she made cannot constitute a binding contract and that,furthermore,it was at least implied that he would stop smoking for good.Can Bernard legally collect $100 from Helen?

When entering into contracts with companies in other nations,a manager should understand whether that company's laws are based on civil codes,rather than on case-by-case common law.

Under the doctrine of ______,a court may invalidate an agreement if one party had sufficient influence and power over the other as to make genuine assent impossible.

In many states,professional licensing statutes provide that if a party to a contract does not have a required license,the other party must still pay and can sue in court for damages.

In court cases,equitable remedy must be in the form of monetary damages.

_____ damages are awarded in promissory estoppels cases,where expectation damages are generally not allowed.

A third-party beneficiary has the legal rights to enforce a contract if the contracting parties intended to benefit that party.

A mistake of judgment:

Conditions ______ occur when the mutual duties of performance are to take place simultaneously.

An objective standard is used in determining whether an offer has been made.

To which of the following does the statute of frauds apply?

Which of the following does NOT generally make a contract voidable?

__________ damages compensate a party for losses that occur as a foreseeable result of the breach.

Courts enforce liquidated damages as a form of a penalty.

In CASE 7.2,Kurashige v.Indian Dunes,Inc.(1988),plaintiff Kurashige used Indian Dunes Park for motorcycle dirt bike riding.Prior to entering the park he signed a general release.Kurashige was injured and sued Indian Dunes.How did the court rule and why?

Seneca owns an interior painting service.Seneca promises Fran,a homeowner,that Seneca will paint the outside of Fran's house.Seneca knows that all of the painter-employees are busy for the next two months and really does not intend to paint Fran's house.In this case,Seneca's tortious behavior is known as:

Consideration can be either a promise to do a certain act or the performance of the act itself.

Describe three standard measures that courts have developed to measure monetary damages in contract cases.Explain how each would be measured.

Mutuality of obligation applies only to bilateral contracts.