BLAW 3430 Engler Test ACTUAL
QUESTIONS AND CORRECT ANSWERS
Contractual obligations are recognized - CORRECT ANSWERS whenever the parties clearly
intend to be bound
Contracts are primarily governed by - CORRECT ANSWERS state common law
Sale of personal property is - CORRECT ANSWERS a large part of commercial activity
Uniform Commercial Code (The Code, or UCC), Article 2 - CORRECT ANSWERS Governs
sale of personal property in all states, except Louisiana; Ex. TV set, car, or textbook
A sale consists of - CORRECT ANSWERS the passing of the title to goods from seller to
buyer for a price.
-Contract of sale consists of both sale of present and future goods
Goods - CORRECT ANSWERS Tangible Personal property
Personal Property - CORRECT ANSWERS any property other than an interest in real property
(land)
Common Law - CORRECT ANSWERS governs all contracts outside the scope of the code
-Code doesn't apply to employment contracts, service, insurance, and contracts involving real
property
Contract - CORRECT ANSWERS Binding agreement that the courts will enforce
Promise - CORRECT ANSWERS Demonstrates the intention to act or refrain from acting in a
specified manner.
Breach - CORRECT ANSWERS No legal remedy is available; failure to properly perform
promises.
,All contracts are promises - CORRECT ANSWERS but not all promises are contracts
4 Essential Requirements of a Contract - CORRECT ANSWERS -Mutual Assent
-Consideration
-Legality of Object
-Capacity/Competence
Mutual Assent - CORRECT ANSWERS offer and acceptance; parties to a contract must
manifest by words or conduct that they have agreed to enter in to contract
Consideration - CORRECT ANSWERS Must intentionally exchange a legal benefit or incur a
legal detriment as inducement to other party to make return exchange
Legality of Object - CORRECT ANSWERS Purpose of contract is not criminal, tortious, or
against public policy
Capacity - CORRECT ANSWERS Parties must have contractual capacity
Classification of Contracts (5 Columns) - CORRECT ANSWERS -Unilateral v. Bilateral
-Formal v. Informal
-Expressed/Implied
-Valid, Void, voidable and unforeseeable contracts
-Executed/Executory
Unilateral v. Bilateral - CORRECT ANSWERS Unilateral: Promise for performance; the
performer is under no duty to fulfill the offer if he never agreed to it
Bilateral: promise for a promise; each party is under duty to another
Formal v. Informal - CORRECT ANSWERS Formal: in writing
Informal: Oral/verbal or otherwise (action/conduct)
Expressed or Implied - CORRECT ANSWERS Express: parties manifest assent in words;
saying
, Implied: Formed by conduct; ex. putting drinks on tab; showing
All contracts are expressed or implied in fact/law, but not all expressions are contracts
Valid - CORRECT ANSWERS meets all of the requirements of a binding contract; it is
enforceable
Void - CORRECT ANSWERS Agreement that does not meet all of the requirements of a
binding contract, thus its is no contract at all; it is merely a promise that hash no legal effect
Voidable - CORRECT ANSWERS defective; not wholly lacking in legal effect
Unenforceable - CORRECT ANSWERS one for the breach of which the law proved no
remedy
Executed contract - CORRECT ANSWERS contract that has been fully executed by all of the
parties to it; no longer a contract because all duties under it have been performed
Executory Contract - CORRECT ANSWERS applies to contracts that are still partially or
entirely unperformed by one or more of the parties
Promissory Estoppel - CORRECT ANSWERS Court enforcement of non contractual promises
Implied-in-Law/Quasi Contract - CORRECT ANSWERS "as if"; not a contract, but based in
restitution; an obligation imposed by law to avoid injustice
Executed v. Executory - CORRECT ANSWERS refers to stage of performance
Mutual Assent - CORRECT ANSWERS offer+acceptance=contract
Offer (O) - CORRECT ANSWERS -Serious/Intentional
-Communicated
-Definite (Common law says you must state the amount and quantity or else no contract. UCC says
they can find that you still do sense the dealings are with goods and not people)
QUESTIONS AND CORRECT ANSWERS
Contractual obligations are recognized - CORRECT ANSWERS whenever the parties clearly
intend to be bound
Contracts are primarily governed by - CORRECT ANSWERS state common law
Sale of personal property is - CORRECT ANSWERS a large part of commercial activity
Uniform Commercial Code (The Code, or UCC), Article 2 - CORRECT ANSWERS Governs
sale of personal property in all states, except Louisiana; Ex. TV set, car, or textbook
A sale consists of - CORRECT ANSWERS the passing of the title to goods from seller to
buyer for a price.
-Contract of sale consists of both sale of present and future goods
Goods - CORRECT ANSWERS Tangible Personal property
Personal Property - CORRECT ANSWERS any property other than an interest in real property
(land)
Common Law - CORRECT ANSWERS governs all contracts outside the scope of the code
-Code doesn't apply to employment contracts, service, insurance, and contracts involving real
property
Contract - CORRECT ANSWERS Binding agreement that the courts will enforce
Promise - CORRECT ANSWERS Demonstrates the intention to act or refrain from acting in a
specified manner.
Breach - CORRECT ANSWERS No legal remedy is available; failure to properly perform
promises.
,All contracts are promises - CORRECT ANSWERS but not all promises are contracts
4 Essential Requirements of a Contract - CORRECT ANSWERS -Mutual Assent
-Consideration
-Legality of Object
-Capacity/Competence
Mutual Assent - CORRECT ANSWERS offer and acceptance; parties to a contract must
manifest by words or conduct that they have agreed to enter in to contract
Consideration - CORRECT ANSWERS Must intentionally exchange a legal benefit or incur a
legal detriment as inducement to other party to make return exchange
Legality of Object - CORRECT ANSWERS Purpose of contract is not criminal, tortious, or
against public policy
Capacity - CORRECT ANSWERS Parties must have contractual capacity
Classification of Contracts (5 Columns) - CORRECT ANSWERS -Unilateral v. Bilateral
-Formal v. Informal
-Expressed/Implied
-Valid, Void, voidable and unforeseeable contracts
-Executed/Executory
Unilateral v. Bilateral - CORRECT ANSWERS Unilateral: Promise for performance; the
performer is under no duty to fulfill the offer if he never agreed to it
Bilateral: promise for a promise; each party is under duty to another
Formal v. Informal - CORRECT ANSWERS Formal: in writing
Informal: Oral/verbal or otherwise (action/conduct)
Expressed or Implied - CORRECT ANSWERS Express: parties manifest assent in words;
saying
, Implied: Formed by conduct; ex. putting drinks on tab; showing
All contracts are expressed or implied in fact/law, but not all expressions are contracts
Valid - CORRECT ANSWERS meets all of the requirements of a binding contract; it is
enforceable
Void - CORRECT ANSWERS Agreement that does not meet all of the requirements of a
binding contract, thus its is no contract at all; it is merely a promise that hash no legal effect
Voidable - CORRECT ANSWERS defective; not wholly lacking in legal effect
Unenforceable - CORRECT ANSWERS one for the breach of which the law proved no
remedy
Executed contract - CORRECT ANSWERS contract that has been fully executed by all of the
parties to it; no longer a contract because all duties under it have been performed
Executory Contract - CORRECT ANSWERS applies to contracts that are still partially or
entirely unperformed by one or more of the parties
Promissory Estoppel - CORRECT ANSWERS Court enforcement of non contractual promises
Implied-in-Law/Quasi Contract - CORRECT ANSWERS "as if"; not a contract, but based in
restitution; an obligation imposed by law to avoid injustice
Executed v. Executory - CORRECT ANSWERS refers to stage of performance
Mutual Assent - CORRECT ANSWERS offer+acceptance=contract
Offer (O) - CORRECT ANSWERS -Serious/Intentional
-Communicated
-Definite (Common law says you must state the amount and quantity or else no contract. UCC says
they can find that you still do sense the dealings are with goods and not people)
