Contracts Final Exam
_________ refers to selecting which jurisdiction's laws will be applied to the contract. -
correct answer-Choice of Law
____________ arises when the obligor, the person or party who is obligated to perform
under the agreement, transfers this duty to perform to another party. - correct answer-A
delegation
_______________ is a remedy for reliance in which the court will enforce a promise made,
when that promise reasonably led a party to rely on it and failure to enforce will cause the
promise great harm. - correct answer-Promissory estoppel
_______________ is a remedy for reliance in which the court will enforce a promise made,
when that promise reasonably led a party to rely on it and failure to enforce will cause the
promise great harm. - correct answer-Promissory estoppel
A __________ occurs after the contract is formed but prior to the performance. - correct
answer-modification
A contract which has an illegal subject matter will be enforced if the parties didn't know the
subject matter was illegal when they entered the agreement. T/F - correct answer-False
A minor cannot reclaim personal property that has been sold by the original contractingparty
(buyer) to a subsequent bona fide purchaser for value. T/F - correct answer-True
A minor may not disaffirm a contract if the other party has fully performed. T/F - correct
answer-False
A notice that the promisor will not perform the terms of the contract in the future is
__________. - correct answer-anticipatory repudiation
A promise for a performance is a _______. - correct answer-unilateral contract
A restitution cause of action is available for all of the following response EXCEPT:(a) No
Breach-Justification(b) No Breach-Excuse(c) No Breach-Terminated Duty(d) No
Breach-Compliance - correct answer-No Breach-Terminated Duty
A unilateral contract can be breached by either the offeror or the offeree. T/F - correct
answer-False
A valid acceptance is not required to form a contract as long as the offeree actually intended
to accept the offer. T/F - correct answer-False
A voidable contract can be enforced as long as the party injured by the contract chooses to
follow through with the contract. T/F - correct answer-True
, Albert and Alice hire Monument Homes to build them a house for $200,000. The house shall
be 2,300 sq ft and the exterior of the home shall be white stone from the Hill Country Stone
Company. Monument Homes found a better deal on beige stone from the Austin Stone
Company. Monument Homes decided to use this stone instead of the white stone from Hill
Country Stone. If Alice noticed the beige stone on the house and complemented Monument
Homes on the color choice and type of stone that was used she would have: - correct
answer-been estopped from using a No Breach - Justification Response
Albert and Alice hire Monument Homes to build them a house for $200,000. The house shall
be 2,300 sq ft and the exterior of the home shall be white stone from the Hill Country Stone
Company. Monument Homes found a better deal on beige stone from the Austin Stone
Company. Monument Homes decided to use this stone instead of the white stone from Hill
Country Stone. If Alice noticed the beige stone on the house and the sign on the stone that
read Austin Stone Company but did not say anything she would have: - correct
answer-waived her No Breach-Justification Response
Albert and Alice hire Monument Homes to build them a house for $200,000. The house shall
be 2,300 sq ft and the exterior of the home shall be white stone from the Hill Country Stone
Company. Monument Homes found a better deal on beige stone from the Austin Stone
Company. Monument Homes decided to use this stone instead of the white stone from Hill
Country Stone. If Alice refused to pay Monument Homes she would need to show that
Monument Homes did _________________ according to the terms of the contract. - correct
answer-not substantially perform
All adhesion contracts are unconscionable and therefore unenforceable. T/F - correct
answer-False
An acceptance is effective when it is sent while a rejection is not effective until the offeror
receives it. T/F - correct answer-True
An advertisement in the newspaper is generally: - correct answer-an invitation to offer.
An expectation remedy will - correct answer-Put the injured party in the same position as if
the contract was fully performed.
An expectation remedy will - correct answer-Put the injured party in the same position as if
the contract was fully performed.
Anticipatory Repudiation - correct answer-notice that the promisor will not perform; notice is
the breach
Assignment - correct answer-when the entity or individual who has the right towhen a party
transfers a right under the contract to a third party
Bilateral Offer - correct answer-I will pay you $25 if you promise to wash my car.
_________ refers to selecting which jurisdiction's laws will be applied to the contract. -
correct answer-Choice of Law
____________ arises when the obligor, the person or party who is obligated to perform
under the agreement, transfers this duty to perform to another party. - correct answer-A
delegation
_______________ is a remedy for reliance in which the court will enforce a promise made,
when that promise reasonably led a party to rely on it and failure to enforce will cause the
promise great harm. - correct answer-Promissory estoppel
_______________ is a remedy for reliance in which the court will enforce a promise made,
when that promise reasonably led a party to rely on it and failure to enforce will cause the
promise great harm. - correct answer-Promissory estoppel
A __________ occurs after the contract is formed but prior to the performance. - correct
answer-modification
A contract which has an illegal subject matter will be enforced if the parties didn't know the
subject matter was illegal when they entered the agreement. T/F - correct answer-False
A minor cannot reclaim personal property that has been sold by the original contractingparty
(buyer) to a subsequent bona fide purchaser for value. T/F - correct answer-True
A minor may not disaffirm a contract if the other party has fully performed. T/F - correct
answer-False
A notice that the promisor will not perform the terms of the contract in the future is
__________. - correct answer-anticipatory repudiation
A promise for a performance is a _______. - correct answer-unilateral contract
A restitution cause of action is available for all of the following response EXCEPT:(a) No
Breach-Justification(b) No Breach-Excuse(c) No Breach-Terminated Duty(d) No
Breach-Compliance - correct answer-No Breach-Terminated Duty
A unilateral contract can be breached by either the offeror or the offeree. T/F - correct
answer-False
A valid acceptance is not required to form a contract as long as the offeree actually intended
to accept the offer. T/F - correct answer-False
A voidable contract can be enforced as long as the party injured by the contract chooses to
follow through with the contract. T/F - correct answer-True
, Albert and Alice hire Monument Homes to build them a house for $200,000. The house shall
be 2,300 sq ft and the exterior of the home shall be white stone from the Hill Country Stone
Company. Monument Homes found a better deal on beige stone from the Austin Stone
Company. Monument Homes decided to use this stone instead of the white stone from Hill
Country Stone. If Alice noticed the beige stone on the house and complemented Monument
Homes on the color choice and type of stone that was used she would have: - correct
answer-been estopped from using a No Breach - Justification Response
Albert and Alice hire Monument Homes to build them a house for $200,000. The house shall
be 2,300 sq ft and the exterior of the home shall be white stone from the Hill Country Stone
Company. Monument Homes found a better deal on beige stone from the Austin Stone
Company. Monument Homes decided to use this stone instead of the white stone from Hill
Country Stone. If Alice noticed the beige stone on the house and the sign on the stone that
read Austin Stone Company but did not say anything she would have: - correct
answer-waived her No Breach-Justification Response
Albert and Alice hire Monument Homes to build them a house for $200,000. The house shall
be 2,300 sq ft and the exterior of the home shall be white stone from the Hill Country Stone
Company. Monument Homes found a better deal on beige stone from the Austin Stone
Company. Monument Homes decided to use this stone instead of the white stone from Hill
Country Stone. If Alice refused to pay Monument Homes she would need to show that
Monument Homes did _________________ according to the terms of the contract. - correct
answer-not substantially perform
All adhesion contracts are unconscionable and therefore unenforceable. T/F - correct
answer-False
An acceptance is effective when it is sent while a rejection is not effective until the offeror
receives it. T/F - correct answer-True
An advertisement in the newspaper is generally: - correct answer-an invitation to offer.
An expectation remedy will - correct answer-Put the injured party in the same position as if
the contract was fully performed.
An expectation remedy will - correct answer-Put the injured party in the same position as if
the contract was fully performed.
Anticipatory Repudiation - correct answer-notice that the promisor will not perform; notice is
the breach
Assignment - correct answer-when the entity or individual who has the right towhen a party
transfers a right under the contract to a third party
Bilateral Offer - correct answer-I will pay you $25 if you promise to wash my car.
