WEEK 5 QUIZ 1

A promise to do (or not do) something in the future counts as consideration.

Robert offers to buy a car from Jane for $400. Jane must accept this offer in order to form an enforceable contract.

What element of a contract refers to both parties receiving some measurable benefit?

Agreeing not to open a competing business could be consideration.

Contracts for the sale of fabric, automobiles, computers, furniture, and paper clips would all be governed by Article 2 of the Uniform Commercial Code.

Regarding contracts, in seeking to determine whether there is a meeting of the minds, the courts look to how a reasonable person would objectively view the language or actions of the parties.

Ethel’s Exercise World plans to order three weight machines from Pete’s Push, Pedal and Pull, Inc. for a total of $15,000. Pete’s demands that Ethel’s friend, Moneybags, a wealthy independent businesswoman (not connected with Ethel’s business in any way) promise to pay Pete’s for the three machines if Ethel’s Exercise World does not. Which of the promises in this problem must be in writing to be enforceable?

The basic distinction between an executory contract and an executed contract is that

Hannah orally agrees to sell her house to Brett for $175,000. If she delivers the deed to Brett with the expectation of payment in two weeks and he fails to pay, most courts will not enforce the contract since it was not in writing.

Which term refers to whether an offeree accepts an offer by promising, by making a down payment, or by performing?