Chapter 13: Policing Ks for Improper Bargaining
Illegality: a K to accomplish an illegal purpose wont be enforced.
-Ex: Ks to enforce gambling debts, to encourage divorce, to transfer property to defraud
collectors, for sexual services.
Ch. 16- Parol Evidence Rule
-Parol evidence: external evidence cant be introduced to vary or add to a final/complete written
Exceptions: fraud and illegality, interpret a real ambiguity in the language.
Purposes: 1) encourage clear written agree
Chapter 11: Options Contracts & Firm Offers
Handout 11: Options
General rule: Any offer is revocable at any time even if it expressly states that it will be held
open or is irrevocable. A contract forms only if the offer is accepted before the offer is
Chapter 10: Promissory Estoppel 9/27/11
On Exam, make arguments for a Plan A contract: O+A+2 Cn
Sufficient consideration includes: joy of having the other person forbear or waive a legal
right; a chance to get something valuable no matter how small the li
Ch. 19: Material Breach, Substantial Performance, and Anticipatory Repudiation
-Distinction between Material & Non-material Breach
-Breach thats so central that the promise is deemed the equivalent of a condition.
-Consequence: Party not
Ch. 20: Contract Remedies
A. Principles of Contract Remedies
-Goal: K remedies operate on a compensation principle- compensate plaintiffs for its net losses
due to the breach.
-If its impossible to estimate the loss in dollars, relief is unlikely. No dama
Pennsy Supply, Inc. v. American Ash Recycling Corp.
Penn. Sup. Ct. (2006)
F: Pennsy filing claim that Ash had an enforceable K, should have helped in disposal of AggRite.
I: Consideration or condition? Bargained for? Does UCC apply?
R: It isnt eno
Too Uncertain to Enforce:
-Would require- several significant holes, too much unfettered discretion in one party, unclear as
to core quantity or identity of subject matter.
-Can it be fixed? UCC policy is to fix if possible (everything but quantit
-Evidentiary: replaces seal
-Cautionary: parties should realize significance
-Channeling: keeps courts out of gifts and other non-economic disputes
Restatement 17: formation of a K requires a bargain in which theres a manif