LGS 200 Abigail Hammonds exam 2 PRACTICE
You go out drinking and playing cards with your buddies. After you have consumed a huge
amount of alcohol, you agree to sell your motorcycle to your buddy. The next morning, after you
sober up, your buddy tells you what you did.
Do you think your buddy can legally hold you to the deal to sell him your motorcycle?
No, he can't, if you were so intoxicated that you could not form the mental capacity to enter
into a contract, and your buddy knew you were intoxicated.
Which of the following is a valid offer?
1. Arun distributes flyers at work stating he wants to sell his house, listing the address and the
asking price.
2. Eric offers to buy Arun's house for $775,000 with no contingencies because Eric's lease ends
in two months. Arun wants to think about it and six days later has not yet responded.
3. Eric offers to buy Arun's house for $290,000. Arun says, "No, but I will sell it to you for
$300,000." Eric seems to be upset, so Arun says he will sell it for $290,000.
4. Arun tells Eric he will sell one of his houses for $250,000 by the end of the summer.
2. Eric offers to buy Arun's house for $775,000 with no contingencies because Eric's lease ends
in two months. Arun wants to think about it and six days later has not yet responded.
Which act or statement is a valid offer?
A detailed advertisement
What type of acceptance requires an affirmative action for the offeree to accept that offer?
Unilateral contracts
, Lilly hired Harris Lawn Service to cut her grass one summer, and paid through automatic charges
to her credit card. After taking three months off for winter weather, Harris staff cut Lilly's grass
for four weeks in a row before charging the fees on Lilly's credit card. Lilly protested the charges,
stating she did not hire the company to cut grass for the second summer. Harris sues Lilly. What
law applies? Choose 2 answer choices.
1. Lilly's silence is acceptance because of the parties' past dealings.
2. Lilly's silence is acceptance because the offeree accepted the benefit offered.
Which situation would be considered sufficient consideration for a contract to exist?
Pam agrees to pay Derek $500 if he does not sit next to her in class anymore.
(Forbearance)
What are the elements of consideration? Choose 2 answer choices.
1. something of value from each party
2. an exchange to which the parties agree
Which type of lack of capacity is easiest to prove?
Minor status
Samuel has mental competency issues. Samuel entered into a contract with Beth, but now
Samuel is petitioning the court to terminate the contract. What options does the court have in
ruling in the case? Choose 2 answer choices.
1. The contract is voidable if Samuel was incompetent at the time the contract was formed.
2. The contract is void if Samuel has been previously determined to be mentally incompetent.
What is an exception to the statute of frauds?
Promissory Estoppel
Promissory Estoppel
Promissory estoppel is an exception to the statute of frauds writing requirement. If one party
makes an oral promise that should reasonably cause the other party to rely on it, and that party
does rely on the promise, the court may enforce that agreement despite the lack of the
required writing.
What is the result if parties agree to a contract orally, but it is a contract that must be in writing
under the statute of frauds?
You go out drinking and playing cards with your buddies. After you have consumed a huge
amount of alcohol, you agree to sell your motorcycle to your buddy. The next morning, after you
sober up, your buddy tells you what you did.
Do you think your buddy can legally hold you to the deal to sell him your motorcycle?
No, he can't, if you were so intoxicated that you could not form the mental capacity to enter
into a contract, and your buddy knew you were intoxicated.
Which of the following is a valid offer?
1. Arun distributes flyers at work stating he wants to sell his house, listing the address and the
asking price.
2. Eric offers to buy Arun's house for $775,000 with no contingencies because Eric's lease ends
in two months. Arun wants to think about it and six days later has not yet responded.
3. Eric offers to buy Arun's house for $290,000. Arun says, "No, but I will sell it to you for
$300,000." Eric seems to be upset, so Arun says he will sell it for $290,000.
4. Arun tells Eric he will sell one of his houses for $250,000 by the end of the summer.
2. Eric offers to buy Arun's house for $775,000 with no contingencies because Eric's lease ends
in two months. Arun wants to think about it and six days later has not yet responded.
Which act or statement is a valid offer?
A detailed advertisement
What type of acceptance requires an affirmative action for the offeree to accept that offer?
Unilateral contracts
, Lilly hired Harris Lawn Service to cut her grass one summer, and paid through automatic charges
to her credit card. After taking three months off for winter weather, Harris staff cut Lilly's grass
for four weeks in a row before charging the fees on Lilly's credit card. Lilly protested the charges,
stating she did not hire the company to cut grass for the second summer. Harris sues Lilly. What
law applies? Choose 2 answer choices.
1. Lilly's silence is acceptance because of the parties' past dealings.
2. Lilly's silence is acceptance because the offeree accepted the benefit offered.
Which situation would be considered sufficient consideration for a contract to exist?
Pam agrees to pay Derek $500 if he does not sit next to her in class anymore.
(Forbearance)
What are the elements of consideration? Choose 2 answer choices.
1. something of value from each party
2. an exchange to which the parties agree
Which type of lack of capacity is easiest to prove?
Minor status
Samuel has mental competency issues. Samuel entered into a contract with Beth, but now
Samuel is petitioning the court to terminate the contract. What options does the court have in
ruling in the case? Choose 2 answer choices.
1. The contract is voidable if Samuel was incompetent at the time the contract was formed.
2. The contract is void if Samuel has been previously determined to be mentally incompetent.
What is an exception to the statute of frauds?
Promissory Estoppel
Promissory Estoppel
Promissory estoppel is an exception to the statute of frauds writing requirement. If one party
makes an oral promise that should reasonably cause the other party to rely on it, and that party
does rely on the promise, the court may enforce that agreement despite the lack of the
required writing.
What is the result if parties agree to a contract orally, but it is a contract that must be in writing
under the statute of frauds?
