March 5 - offer, if you show up with a Pepsi tab you win...

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March 5, 2007 Contracts- a kind of promise that is enforceable by law. Where two or more parties agree upon something. Uniform Commercial Code is directly tied into contracts. To make a uniform set of laws that govern commercial contracts for the sale of goods. Elements of a Contract: You must have an offer, and acceptance. Consideration, the bargain for exchange must be present. Capacity and legality- the capacity to enter a contract, meaning, one who is judged ‘insane’ due to lack of intellectual capacity. Legality- there must be a legal purpose and the contract must not breach legal rights. The right to contract is also limited by others rights. Freedom from contract Unilateral or Bilateral Contracts- Bilateral, a promise is exchanged for another promise, ie. “I’ll trade you my bike for your money”, “Okay.” Unilateral, one person puts out an
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Unformatted text preview: offer, if you show up with a Pepsi tab you win blank. Bilateral contracts may be rescinded, but not if there has been a reasonable amount of work already done. Formal and Informal Contracts- Formal: under seal (out of date), recognizance, negotiable instruments (checks), letters of credit. Informal: Statue of limitations are 4 years for a written contract and 2 years for an oral contract. Selling a child but entering a contract would leave the contract null due to the fact that it is prohibited to sell a child. Complete performance will release your duties. You may also discharge your obligation if the other party breaches the contract. You may also discharge by agreement, or rescinding. By operation of law you may be released from your duties of the contract. In bankruptcy you may discharge debts....
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