Business Law 255 - Exam 3, Part One

Business Law 255

22 cards   |   Total Attempts: 182
  

Cards In This Set

Front Back
What does OACCL stand for? What are these the requirements for?
Offer, Acceptance, Capacity, Consideration, and Lawful purpose. These are requirements for a contract.
What are goods?
Tangible, movable personal property for sale.
What is the difference between a unilateral and a bilateral contract?
A unilateral has one promise and a bilateral has two promises.
What are the two types of actual contracts?
Express (terms are discussed in written or oral form) and implied in fact (terms are not discussed).
What is an example of unjust enrichment?
Lee's painting service is set to paint Waynick's house for $7500. Lee's people go to Ezell's house instead and paints his whole house. Ezell must pay the "reasonable value" (cost of paint, labor, etc., but not the profit).
What is the difference between an executed agreement and an executory agreement?
In an executed agreement, the requested act has been performed. In an executory agreement, the requested act has not yet been performed.
What is the statute of frauds?
Certain contracts must be in writing in order to be enforceable. This only applies to executory agreements.
What type of contract contains all the requirements of OACCL?
A valid contract.
What type of contract would have an invalid offer, acceptance, consideration, or lawful purpose?
A void contract.
What makes a contract voidable?
If there is invalid capacity, duress, or mutual mistake.
What is an unenforceable contract?
One that is not in writing.
What are the three requirements of an offer?
It must be (1) bound by statement, it must be (2) definite or reasonably certain, and it must be (3) communicated.
What is the objective theory?
If a reasonable third party would or would not understand the seriousness of the offer or the acceptance.
In what two ways can offers be terminated?
By action of the parties or operation of law.
What are the two ways the parties involved can terminate an offer?
Revocation and rejection (counter-offer).