Gleim Midterm II Vocab

Gleim Midterm II Vocab - Midterm II: Chapters 8, 9, 11, 29,...

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Midterm II: Chapters 8, 9, 11, 29, 30 Gleim Vocabulary: Chapter 8: Contracts: The Agreements 1. Contact- Constitutes a promise or an agreement that the law recognizes as establishing a duty of performance and will enforce by applying a remedy for its breach 2. Common Law of Contracts- Major source of contract law 3. Article 2 of the Uniform Commercial Code (UCC)- Major source of contract law 4. Goods- Tangible, moveable personal property 5. Freedom of Contract- A principle emphasizing that new contracting parties, not the courts, form the contract according to their own will 6. Valid Contract- One that meets all the legal requirements of a binding agreement 7. Void Contract- Lacks an essential requirement and has no legal effect 8. Voidable Contract- An agreement that one party may either enforce or void without being in breach of contract 9. Restatement (Second) of Contracts- Compiled by the American Law Institute is intended to embody the common law 10. Agreement- Requires the mutual assent of the contracting parties reached through an offer by the offeror and acceptance by the offeree 11. Offer- A statement or other communication that, if not terminated, confers upon the offeree the power of acceptance. An offer can be in any form but must be communicated to an offeree, manifest an intent to enter into a contract, and be sufficiently definite and certain 12. Unilateral Offer- A promise made in exchange for an act 13. Bilateral Offer- A promise that invites a return promise 14. Communication of an offer- May be done in various ways and may occur over time, but, at some moment in the formation of a contract, each party expresses an intent to enter into a legally binding and uses the following test: Would a reasonable person assume that the power of acceptance had been conferred upon him/her? 15. Offer Termination- An offer will terminate under any of the following circumstances: -revocation by the offeror -rejection or counteroffer by the offeree -death or incompetency of either the offeror or offeree -destruction of the specific subject matter to which the offer relates -subsequent illegality of the offer -lapse of a specified or reasonable time 16. Terminations by operation of law- 3 through 6 of offer terminations -death or incompetency of either the offeror or offeree -destruction of the specific subject matter to which the offer relates -subsequent illegality of the offer -lapse of a specified or reasonable time 17. Counteroffer- Has the same effect as a rejection and terminates the earlier offer 18. Option Contract- Limits the offeror’s power to revoke the offer 19. Firm Offer rule- Under the UCC, a party who is a merchant with repect to a sale of
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goods is bound to keep an offer to buy or sell the goods open for a period not in excess of 3 months, provided the merchant gives an assurance in a signed writing that the offer will be help open 20. Acceptance- Essential to the formation of a contract 21. Mirror image rule- Acceptance must mirror or reflect the offer and not chance it
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This test prep was uploaded on 04/22/2008 for the course BLAW 302 taught by Professor Polsen during the Spring '08 term at CSU Chico.

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Gleim Midterm II Vocab - Midterm II: Chapters 8, 9, 11, 29,...

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