Chapter12 Consideration

Chapter12 Consideration - CHAPTER 12: CONSIDERATION...

Info iconThis preview shows pages 1–3. Sign up to view the full content.

View Full Document Right Arrow Icon
CHAPTER 12: CONSIDERATION MULTIPLE CHOICE QUESTIONS 1. Ida promises to pay Jon, her son, $15,000 if he obtains his degree at Kappa University, where he is currently in his second year. Jon graduates. Ida is a. not required to pay, because Jon was already at Kappa. b. not required to pay, because obtaining a degree benefits Jon. c. required to pay, because a job can be hard to find after college. d. required to pay, because Jon obtained a degree at Kappa. Fact Pattern 12-A1 (Questions A2–A3 apply) Dave’s Hobby Town and Eva’s Yarn Shoppe are adjacent stores with adjoining parking lots. Dave offers Eva a discount on purchases from Dave’s store if Eva will not tow the cars of Dave’s customers who park in Eva’s lot. 2. Refer to Fact Pattern 12-A1. Dave’s discount is legally sufficient consideration a. because it is a promise of something of value. b. only if Dave adds a cash rebate. c. only if Eva uses it. d. under no circumstances. 3. Refer to Fact Pattern 12-A1. Eva’s forbearance from towing is legally sufficient consideration a. because it is a promise of something of value. b. only if Dave’s customers park in Eva’s lot. c. only if Eva’s customers cannot park in her lot because it is full. d. under no circumstances. Fact Pattern 12-A2 (Questions A4–A6 apply) Brad defends against a breach-of-contract suit by College Credit Corporation by claiming that their deal—a student loan accruing interest at a certain rate and payable beginning on a certain date—was unfair because the consideration for their contract was inadequate.
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
4. Refer to Fact Pattern 12-A2. A court is most likely to evaluate the adequacy of consideration if a. a thing exchanged has no intangible value to one of the parties. b. something exchanged is not of direct economic or financial value. c. the items exchanged were of unequal value.
Background image of page 2
Image of page 3
This is the end of the preview. Sign up to access the rest of the document.

Page1 / 6

Chapter12 Consideration - CHAPTER 12: CONSIDERATION...

This preview shows document pages 1 - 3. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online