Question 1

The doctrine of promissory estoppel:

Accepted Answer

A)   is a doctrine enforcing contractual promises.
B)   includes as a requirement within the doctrine that there has been justifiable reliance on the promise.
C)   is applied in almost every contract enforcement due to frequent misinterpretations.
D)   is a remedy for fraud. B

Question 2

The requirement that each party to a contract must intentionally exchange something of value as an inducement to the other party to make a return exchange is known as:

Accepted Answer

A)   mutual assent.
B)   consideration.
C)   legality of object.
D)   contractual capacity. B

Question 3

A(n) __________ contract is one in which the terms have been definitely and specifically stated and agreed upon.

Accepted Answer

A)   express
B)   implied
C)   written
D)   formal A

Question 4

Possible remedies for a breach of contract do not include:

Accepted Answer

A)   compensatory damages.
B)   restitution.
C)   incarceration.
D)   reliance damages.

Question 5

What is the doctrine of promissory estoppel, and when is it used?

Accepted Answer

The answer of What is the doctrine of promissory estoppel,...

Question 6

Alfred makes a material misrepresentation of fact to Betty, and based upon the misrepresentation, Betty enters into a contract. Alfred now thinks that the contract is not fair to him. This contract is voidable at Alfred 's option.

Accepted Answer

A) True 
 B)False

Question 7

Sarah offers to pay Allison $150 if Allison will paint her apartment while she is out of town on vacation for two weeks. Allison makes no promise but tells Sarah that she will think about it. While Sarah is out of town, Allison paints the apartment. This is best described as:

Accepted Answer

A)   a unilateral contract.
B)   a quasi contract.
C)   an implied in fact contract.
D)   a bilateral contract.

Question 8

A contract to sell life insurance is covered by Article 2 of the Uniform Commercial Code.

Accepted Answer

A) True 
 B)False

Question 9

Contracts that are implied in law:

Accepted Answer

A)   are obligations imposed by law on grounds of justice and equity.
B)   may create unjust enrichment.
C)   require the assent of the contracting parties.
D)   can only be enforced if both parties willingly comply.

Question 10

What are the essential elements of a contract? List and discuss them.

Accepted Answer

The answer of What are the essential elements of a...

Question 11

George has been declared incompetent by the court and is under the care of his sister. Unknown to his sister, George rents the 10,000-seat civic center for his birthday party. George's contract to rent the civic center is best described as:

Accepted Answer

A)   a void contract.
B)   a quasi contract.
C)   a voidable contract.
D)   an enforceable contract.

Question 12

Justin breaches a contract with Megan in a state where the statute of limitations is six years. Five years later Megan wants to sue. The contract is unenforceable.

Accepted Answer

A) True 
 B)False

Question 13

Stan sends for a law school catalog from Ivory Towers University. According to the catalog, the law school applications are evaluated on the basis of undergraduate grades, standardized test scores, and references. Stan, who is a straight-A student, has high test scores and excellent references, applies and pays the $100 application fee. His application is rejected. Later he finds out that others with low grades and test scores were accepted based on their family connections and donations made to the University. If Stan followed all of the guidelines in the college catalog and paid the required application fee, then according to the court in Steinberg v. Chicago Medical School :

Accepted Answer

A)   there is not a contract.
B)   there is a quasi contract.
C)   there is a valid contract; the school bound itself to honor the obligations set forth in the college catalog.
D)   there is a voidable contract.

Question 14

In addition to the four basic requirements of a contract, which of the following must also occur in order to have a valid contract?

Accepted Answer

A)   The agreement must always be in writing.
B)   All terms of the agreement must be clearly indicated.
C)   There must be an absence of invalidating conduct.
D)   A legal remedy must be available for there to be a breach.

Question 15

The United Nations Convention on Contracts for the International Sales of Goods (CISG) governs all contracts for the international sales of goods between parties located in different nations that have ratified the CISG.

Accepted Answer

A) True 
 B)False

Question 16

As of 2011, the majority of states had adopted the 2003 Amendments to Article 2 of the UCC.

Accepted Answer

A) True 
 B)False

Question 17

Discuss the definition of a contract given in The Restatement, Second, of Contracts.

Accepted Answer

The answer of Discuss the definition of a contract given...

Question 18

Due to relaxed contract formality requirements enacted during the twentieth century it became easier to enter into a contract as well as to get out of one.

Accepted Answer

A) True 
 B)False

Question 19

Alfred makes a material misrepresentation of fact to Betty, and based upon the misrepresentation, Betty enters into a contract. Betty now realizes she was deceived and wants to get out of the contract. This contract is voidable at Betty's option.

Accepted Answer

A) True 
 B)False

Question 20

An implied in fact contract is not as enforceable as an express contract.

Accepted Answer

A) True 
 B)False

Exam 9: Introduction to Contracts

The doctrine of promissory estoppel:

The requirement that each party to a contract must intentionally exchange something of value as an inducement to the other party to make a return exchange is known as:

A(n) __________ contract is one in which the terms have been definitely and specifically stated and agreed upon.

Possible remedies for a breach of contract do not include:

What is the doctrine of promissory estoppel, and when is it used?

Alfred makes a material misrepresentation of fact to Betty, and based upon the misrepresentation, Betty enters into a contract. Alfred now thinks that the contract is not fair to him. This contract is voidable at Alfred 's option.

Sarah offers to pay Allison $150 if Allison will paint her apartment while she is out of town on vacation for two weeks. Allison makes no promise but tells Sarah that she will think about it. While Sarah is out of town, Allison paints the apartment. This is best described as:

A contract to sell life insurance is covered by Article 2 of the Uniform Commercial Code.

Contracts that are implied in law:

What are the essential elements of a contract? List and discuss them.

George has been declared incompetent by the court and is under the care of his sister. Unknown to his sister, George rents the 10,000-seat civic center for his birthday party. George's contract to rent the civic center is best described as:

Justin breaches a contract with Megan in a state where the statute of limitations is six years. Five years later Megan wants to sue. The contract is unenforceable.

In addition to the four basic requirements of a contract, which of the following must also occur in order to have a valid contract?

The United Nations Convention on Contracts for the International Sales of Goods (CISG) governs all contracts for the international sales of goods between parties located in different nations that have ratified the CISG.

As of 2011, the majority of states had adopted the 2003 Amendments to Article 2 of the UCC.

Discuss the definition of a contract given in The Restatement, Second, of Contracts.

Due to relaxed contract formality requirements enacted during the twentieth century it became easier to enter into a contract as well as to get out of one.

Alfred makes a material misrepresentation of fact to Betty, and based upon the misrepresentation, Betty enters into a contract. Betty now realizes she was deceived and wants to get out of the contract. This contract is voidable at Betty's option.

An implied in fact contract is not as enforceable as an express contract.