This preview shows pages 1–3. Sign up to view the full content.
This preview has intentionally blurred sections. Sign up to view the full version.View Full Document
Unformatted text preview: 1-22-09 Essentials of a contract1.Manifestation of mutual assent a.Offer b.Acceptance 2.Consideration – product given in exchange for a promise. In absence of consideration there is no contract because all you have is a promise. A contract is not complete until the exchange is complete. 3.Legality4.Capacity – each one of them is an adult and able to make decision at their right mind. General Concepts (Ch. 10) Express and implied in fact contracts. The difference in these two lies on how the contract is made. a.No fundamental difference, same elements. b.Contract may be entirely expressed either orally or in writing, or a combination of both c.Contract may be based on conduct of parties or a combination of conduct and expressed agreement. Expressed Contracts- is a verbal agreement on both parties Implied Contracts- this contract is defined by the actions of the parties rather than their verbal agreements. Ex: a haircut, you go and get a haircut and got serviced, then you are expected to a pay a fee for the service and you knew it was expected, you also had a chance to refuse the service but you didn’t. Void, Voidable and Unenforceable Contractsa.Void contract- if its void there never was a contract in the first place. Because one of the fundamental factors for a ‘contract’ is missing. If any of the first tree is missing there is no contract, but if all first three are present and capacity is missing then it’s a voidable contract. b.Voidable- a contract that is missing Capacity. Ex: a minor making a contract, a minor has no capacity therefore the contract is voidable. c.Unenforceable contract- a good contract with all four elements, point in which one of the persons cannot keep going with the contract. Ex: A owes money to B but A files bankruptcy therefore any money owed to B is unenforceable. Applicable statue of limitation- only voidable with suicide. From the moment of breach or the moment the breach is discovered then there is a certain time limit to take action. Statue of Fraud- Volition- a person going into contract under a threat? Unilateral and Bilateral contract, both have all four elementsa.Unilateral contract- exchange of promise for an act. Seen in a business or commercial sittingb.Bilateral contract- exchange of a promise for a promise. Most contracts are bilateral.Executed and executor contractsa.Executed- term used in at least three different contexts in law. This one is used in similarity of a performance. If a contract is executed it has been performed. b.Executor contract is one which is unperformed. Seller performs but buyer does not pay every penny of contract price. Quasi contracts (aka constructive contracts and implied in law) a.This is not really a contract, rather it is a contract made in court to prevent an unjust enrichment of a party at the expense of the other....
View Full Document
This note was uploaded on 04/23/2011 for the course BLAW 3311 taught by Professor Boykin during the Spring '07 term at UT Arlington.
- Spring '07
- Business Law