Question 1

Which of the following is true in a unilateral contract?

Accepted Answer

In a unilateral contract, the offeror requests an act as acceptance (A), and once the offeree begins or substantially completes performance, the offeror cannot revoke the offer (B).

Question 2

Which of the following are two terms for concept or situation?

Accepted Answer

Both implied-in-law contract and quasi-contract are terms used to describe a situation where a court finds a contract to be binding even though there was no express agreement between the parties.

Question 3

What is required for a contract to be an express contract?

Accepted Answer

The answer of What is required for a contract to...

Question 4

Which of the following is NOT a formal contract?

Accepted Answer

The other options listed (contract under seal, recognizance, negotiable instrument, and letter of credit) are all formal contracts that have specific requirements and legal implications. However, a new car purchase contract is typically a simple written agreement between the buyer and the seller and does not typically have the same level of formality or legal complexity.

Question 5

What kind of contract is based on the conduct of the parties?

Accepted Answer

The contract that is based on the conduct of the parties is an implied-in-fact contract. This is because the contract is not explicitly stated or written down, but it is formed by the actions and behavior of the parties involved.

Question 6

When can an offer to form a unilateral contract be revoked?

Accepted Answer

An offer to form a unilateral contract can be revoked before the offeree begins performance. Once performance has begun, the offeror cannot revoke the offer.

Question 7

A contract is formed by the performance of the requested act in what kind(s)of contract?

Accepted Answer

A unilateral contract is formed when one party promises to do something in exchange for the performance of an act by the other party. The contract is formed only when the act is performed. Therefore, the performance of the requested act is the only consideration needed to form the contract. In a bilateral contract, both parties make promises to each other, and the contract is formed at the time both parties exchange promises.

Question 8

What is the distinguishing characteristic that makes a contract a formal contract?

Accepted Answer

A formal contract is one that is required by law to be in a specific form, such as a deed, bond, or lease. The formality of the contract provides additional legal weight and makes it enforceable in court. The other options, such as a signature, written form, or comprehensive terms, are not necessarily indicative of a formal contract.

Question 9

The doctrine that applies when one person confers a benefit on another who retains the benefit in a situation where it would be unjust to allow the recipient to retain the benefit without paying for it,is known as:

Accepted Answer

Quasi-contract, also known as implied-in-law contract, is a legal doctrine that applies in situations where there is no actual contract between the parties, but one person confers a benefit on another who retains the benefit in a situation where it would be unjust to allow the recipient to retain the benefit without paying for it. This doctrine allows the courts to award restitution to the person who confers the benefit, based on the principle of unjust enrichment. The other choices, B) pseudo-contract, C) unjust contract, and D) unilateral contract, do not accurately describe the situation where one party confers a benefit on another in an implied-in-law contract.

Question 10

Which of the following is needed to impose a quasi-contract?

Accepted Answer

A quasi-contract, also known as an implied-in-law contract, is a legal remedy used when there is no actual agreement between parties, but one party has received unjust enrichment at the expense of the other. Imposing a quasi-contract requires the presence of a benefit having been conferred and an injustice occurring if the benefit is not paid for. This is the only option that includes both elements.

Question 11

Otto approaches Edie and says,"If you pick up my new suit for me at the mall tomorrow,I'll pay you $20." Edie replies,"I don't know if I'll have time to get it,but I'll see if I get a chance." As a result of this conversation,which of the following is true?

Accepted Answer

A contract will be formed only if Edie picks up the suit. This is because Edie did not promise to pick up the suit or obligate herself to do so. Therefore, there was no consideration from Edie at the time of the agreement. If Edie decides not to pick up the suit, there will be no contract and Otto cannot enforce payment of the $20.

Question 12

The reasonable person standard is used to decide whether an express contract exists under the:

Accepted Answer

The reasonable person standard is used to determine whether there is a meeting of the minds between the parties, which is a requirement for the formation of an express contract under the objective theory of contracts. This standard involves examining whether a reasonable person in the position of the parties would have believed that a contract was created based on their words and actions.

Question 13

Over time,most contracts are:

Accepted Answer

Most contracts are executory at the time they are made, meaning that they have not yet been fully performed by either party. However, over time, they become executed as both parties fulfill their respective obligations.

Question 14

Which of the following is true regarding contract validity?

Accepted Answer

A voidable contract is one in which one party has the option to avoid his/her obligation under that contract. It is not automatically void, but rather can be made voidable at the option of one of the parties. A void contract, on the other hand, has no legal effect from the beginning and cannot be enforced by either party.

Question 15

Which of the following does not need to be proven by a plaintiff who is claiming that an implied-in-fact contract exists?

Accepted Answer

An implied-in-fact contract does not require explicit communication about the property or services; it is based on the conduct of the parties that suggests a mutual agreement.

Question 16

A bail bond is an example of what type of formal contract?

Accepted Answer

A bail bond is a type of recognizance, which is a formal obligation or acknowledgment of a debt or duty, often used in legal contexts to ensure a person's appearance in court.

Question 17

The terms "bilateral" and "unilateral" as applied to contracts are based on:

Accepted Answer

The terms "bilateral" and "unilateral" refer to the number of parties who make a promise in the formation of a contract. In a bilateral contract, both parties make promises to each other, while in a unilateral contract, one party makes a promise in exchange for the other party's performance.

Question 18

Under the objective theory of contracts,a contract could result from an offer made:

Accepted Answer

The objective theory of contracts focuses on the external manifestations of intent to form a contract rather than the internal, subjective intentions of the parties. This means that if an offer, even if made due to a need to sell an item quickly, is accompanied by a clear expression of intent to be bound by the terms of the offer, then a contract could result. Offers made in jest or anger, or due to undue excitement, would not meet the requirements of a valid offer under the objective theory of contracts.

Question 19

Which of the following is NOT a basic requirement to be an enforceable contract?

Accepted Answer

A key requirement for an enforceable contract is that both parties have assented or agreed to the terms. Without agreement, there is no contract. Therefore, option D is the correct answer as it suggests that assent is not necessary for a contract to be enforceable.

Question 20

An offeree can form a contract by making a promise if the offer to form the contract is:

Accepted Answer

In a bilateral contract, both parties make promises to each other, so an offeree can form a contract by making a promise in response to the offer.

Quiz 9: Nature of Traditional and E-Contracts