Deck 13: The Law of Contracts

Question 1

Who is the individual who identifies all significant terms of the actual contract and then promises or performs?

A) Offeree
B) Offeror
C) Assignor
D) None of the above

Answer 1

A

Question 2

In assignment and delegation,the party to the contract is the assignor,whereas the party receiving these rights is known as the

A) assignee.
B) offeree.
C) receiver.
D) sponsor.

Answer 2

A

Question 3

Which specifies those types of contracts that must be in writing before they will be enforced?

A) Statute of documents
B) Written contracts rules
C) Statute of enforceable contracts
D) Statute of frauds

Answer 3

D

Question 4

Several defenses are available when a breach of contract is brought that may prevent a judgment against

A) a beneficiary.
B) a defendant.
C) an offeree.
D) parties involved in the dispute.

Question 5

All contracts must contain

A) three parties who do not have legal capacity and a consideration supporting an enforceable promise.
B) three parties who have legal capacity and a consideration supporting an enforceable promise.
C) two parties who have testamentary capacity.
D) two parties who have legal capacity.

Question 6

In all contracts,the individuals involved must

A) negotiate all terms of the contract.
B) retain an attorney to review the contract.
C) signify acceptance of the terms.
D) sign a notarized contractual document.

Question 7

When making the interpretation of the terms of the contract,the court will apply which rule?

A) Apparent-intent rule
B) Plain meaning rule
C) Statute of breached contract rule
D) Statue of fraud rule

Question 8

Regarding contracts with persons without capacity,the theory of restitution is based on the principle of

A) court precedence.
B) fairness.
C) honesty.
D) indefinite promises.

Question 9

Regarding contract law,what does legal capacity mean?

A) An individual fully understands the terms of the contract.
B) An individual has the financial capability to comply with the contract terms.
C) An individual does not suffer from a mental disability.
D) An individual is considered a legally emancipated adult.

Question 10

Who can enforce the contract against the party obligated to provide the benefit?

A) Assignee and creditor beneficiary
B) Creditor and offeree beneficiary
C) Donee and offeree beneficiary
D) Donee and creditor beneficiary

Question 11

Breach of contract has which three remedies?

A) Assignment of damages,contractual damages,specific damages
B) Compensatory damages,dissolution of damages,specific damages
C) Compensatory damages,liquidated damages,specific damages
D) Dissolution of damages,liquidated damages,noncontractual damages

Question 12

Which is a common defense against allegations of breach of contract?

A) Accord and satisfaction
B) Accord and contentment
C) Frustration of purpose and nonconcurrence
D) Nonconcurrence and dissatisfaction

Question 13

Technically,lack of mental capacity only considers those individuals who fit into which of the following categories?

A) Documented history of odd behaviour
B) Legally adjudicated incompetent
C) Psychologically evaluated because of a court order
D) Under the care of a mental health professional

Question 14

What type of contract is an agreement between parties in which each promises to deliver a performance in exchange for the other?

A) Acquiescence
B) Bilateral
C) Obligatory
D) Methods of acceptance and delivery

Question 15

An unwritten obligation underlying all contractual agreements is the duty to act

A) agreeably.
B) ethically.
C) promptly.
D) to one's best advantage.

Question 16

Which two terms are commonly used in reference to contractual assent by each party?

A) Acceptance and disagreement
B) Acceptance and offer
C) Offer and rescission
D) Quarrel and settlement

Question 17

Which is a series of laws regarding commercial transactions adopted in part or whole by all states?

A) Federal Commercial Code
B) National Commercial Code
C) Uniform Commercial Code
D) U.S.Commercial Code

Question 18

Which is similar to the impossibility and impracticability rule?

A) Frustration of purpose and improbability
B) Frustration of duty and termination of performance
C) Performance frustration and terminated effort
D) Terminated duty and frustration of performance

Question 19

Who receives benefit from one promisor as satisfaction of an existing debt from another promisor?

A) Creditor beneficiary
B) Donee beneficiary
C) Liability beneficiary
D) Recipient beneficiary

Question 20

When is a unilateral contract created?

A) When both parties agree to the terms of performance of a single contract
B) When both parties agree to promise a single act each as a contract
C) When a promise is made in exchange for performance
D) When performance is complete but payment has not been made

Question 21

The objective standard requires that a third party would perceive that the parties agreed to the terms of the contract and intended for those terms to be legally binding.

Question 22

is an agreement finalized by performance rather than a return promise.

Question 23

An indefinite promise is not a valid offer and cannot lead to a valid and enforceable offer.

Question 24

is an agreement finalized by a return promise rather than performance.

Question 25

A(n) occurs when someone other than the contracted party completes the performance.

Question 26

Fraud is difficult to prove because the parties are generally expected to examine a document before affixing their signatures.

Question 27

and are the two forms of contracts.

Question 28

is the ability to enter into and be bound by a legal contract.

Question 29

occurs when someone other than the contracted party receives the benefit of performance.

Question 30

Courts use a subjective standard when evaluating a liquidated damage clause.

Question 31

As a general rule,blanket advertisements are not considered offers in contractual agreements.

Question 32

is the benefit exchanged by each party to a contract.

Question 33

A person cannot enter into a contractual agreement with himself or herself.

Question 34

Justified breach is not considered a defense to an allegation of breach of contract.

Question 35

is the time when acceptance by mail takes effect.

Question 36

is the measure for manifestation of assent.

Question 37

Contract law is one of the oldest and developed areas of law.

Question 38

As recognized by most states,negotiations constitute contractual agreements.

Question 39

There are three basic types of unconscionable contracts: adhesion,classic frustration,and unconscionable.

Question 40

is the time when revocation by mail takes effect.

Question 41

is that which supports a legally enforceable promise.

Question 42

is the primary way to establish lack of capacity of an insane person.

Question 43

occurs when a party intentionally misrepresents the quality or value of consideration.

Question 44

is a contract in which a promise to make a gift is part of the consideration.

Question 45

requires certain contracts to be in writing.

Question 46

is the term used when a contracted party assigns responsibility under the contract to the third party.

Question 47

is when one party tricks another party to unintentionally enter a contract.

Question 48

is when the offeree responds with a new offer instead of acceptance.

Question 49

is an alternative remedy when no proper remedy exists at law.

Question 50

is a contract in which a party has no real power to decline.