Chapter 12 BAFN
Quiz yourself by thinking what should be in
each of the black spaces below before clicking
on it to display the answer.
Help!
|
|
||||
|---|---|---|---|---|---|
| Define consideration | there must be bargaining that leads to an exchange between the parties; can be anything that someone might want to bargain for
🗑
|
||||
| What can be bargained for? (3) | another promise or action; a benefit to the promisor or a detriment to the promisee; a promise to do something or a promise to refrain from doing something.
🗑
|
||||
| Consideration for a promise should be at least one of these two things... | Legally detrimental to the promisee, or Legally beneficial to the promisor.
🗑
|
||||
| Adequacy for consideration (3) | 1) A Court will not question the fairness of the bargain if legally sufficient 2) Law does not protect a person from entering into an unwise contract 3) In extreme cases a court may find a party lacks legal capacity or that contract was unconscionable
🗑
|
||||
| Exception to Adequacy for consideration | Economic Benefit -- in some cases, courts will enforce consideration that is an economic benefit, given with the expectation of later payment.
🗑
|
||||
| Define Illusory Promise | If one party’s promise is conditional, the other party is not bound to the agreement.
🗑
|
||||
| Section 2-306 of the UCC does what? | expressly allows output and requirements contracts in the sale of goods
🗑
|
||||
| Exception for Preexisting duties (2): | Additional work. When a promisor agrees to do something above and beyond what he is obligated to do ; Modification. If both parties agree to a modification, the best solution is to rescind the contract and draft a new one.
🗑
|
||||
| What is Past consideration? | Past consideration is an act or benefit given in the past that was not given in exchange for the promise in question, thus it cannot be consideration
🗑
|
||||
| Define Liquidated Debt | is one in which there is no dispute about the amount owed.
🗑
|
||||
| Common Law ruling: If a debtor writes “Full Settlement” on a check, and the creditor cashes it.... | the payment is in full whether or not it was the right amount
🗑
|
||||
| Exceptions to the common law ruling (2) : | Organizations may notify debtors that any offers to settle debt for less than the whole amount must be directed to a certain person.
The creditor can refund the paid amount within 90 days and then demand the full amount
🗑
|
||||
| True or False: Consideration is legal value bargained for and given in exchange for an act or a promise | True
🗑
|
||||
| True or False: A person who agrees not to file suit has not provided valid consideration | False – refraining from something a person is not legally obligated to do is valid consideration.
🗑
|
||||
| The contract or memorandum must be signed by the defendant, and It must state with reasonable certainty: (3) | 1) the name of each party
2) the subject matter of the agreement, and
3) all of the essential terms and promises.
🗑
|
||||
| True or False: A contract for interest in land must be in writing to be enforceable | True
🗑
|
||||
| Exception for Agreement for Interest in Land | Promissory Estoppel: If a promisor makes an oral promise that should reasonably cause the promisee to rely on it, and the promisee does rely, the promisee may be able to enforce the promise
🗑
|
||||
| Define Collateral Promise | When one person agrees to pay the debt of another as a favor to that debtor
🗑
|
||||
| True or False: A contract that cannot, by its own terms, be performed within one year from the date it was formed must be in writing to be enforceable | True
🗑
|
||||
| True or False: An executor’s promise to use her own funds to pay a debt of the deceased must be in writing to be enforceable | True
🗑
|
Review the information in the table. When you are ready to quiz yourself you can hide individual columns or the entire table. Then you can click on the empty cells to reveal the answer. Try to recall what will be displayed before clicking the empty cell.
To hide a column, click on the column name.
To hide the entire table, click on the "Hide All" button.
You may also shuffle the rows of the table by clicking on the "Shuffle" button.
Or sort by any of the columns using the down arrow next to any column heading.
If you know all the data on any row, you can temporarily remove it by tapping the trash can to the right of the row.
To hide a column, click on the column name.
To hide the entire table, click on the "Hide All" button.
You may also shuffle the rows of the table by clicking on the "Shuffle" button.
Or sort by any of the columns using the down arrow next to any column heading.
If you know all the data on any row, you can temporarily remove it by tapping the trash can to the right of the row.
Embed Code - If you would like this activity on your web page, copy the script below and paste it into your web page.
Normal Size Small Size show me how
Normal Size Small Size show me how
Created by:
ryan3743
Popular Finance sets