Formation of Traditional and E-Contracts

These flashcards cover key terms and definitions related to the formation and types of contracts as discussed in Chapter 12.

Common law

Governs all contracts except when modified or replaced by statutory law like the UCC.

UCC (Uniform Commercial Code)

Governs contracts related to the sale and lease of goods.

Breach of contract

Leads to liability because parties have duties prescribed by the agreement's terms.

Objective theory of contracts

Judges contract intent based on objective facts rather than subjective intentions.

Valid contract

A contract that contains all necessary elements to be enforceable.

Consideration

Something of value received or promised to convince someone to enter a contract.

Contractual capacity

The legal ability of parties to enter into a contract.

Void contract

A contract with no legal effect, usually due to illegality or incapacity.

Voidable contract

A valid contract that one or both parties can choose to void.

Express contract

Terms of the agreement are fully stated in clear words, either orally or in writing.

Implied contract

Terms of the agreement are inferred from the actions or conduct of the parties.

Executed contract

A contract that has been fully performed by both parties.

Executory contract

A contract that has not yet been fully performed by either party.

Acceptance

The voluntary act of the offeree to agree to the terms of an offer.

Revocation

The act of the offeror withdrawing an offer before it is accepted.

Counteroffer

A rejection of an offer accompanied by a new offer.

Mailbox rule

Acceptance is effective upon dispatch, not when received by the offeror.

E-contracts

Contracts formed electronically without a written document.

Click-On agreements

Agreements formed through clicking an 'I accept' button online.

Browse-wrap terms

Terms presented to users upon downloading a product without prior agreement needed.

Unconscionable contract

A contract that is so oppressive the courts relieve parties of their duties.

Statute of Frauds

Requires certain contracts to be in writing to be enforceable.

Fraudulent misrepresentation

A false statement made intentionally to deceive another party.

Duress

Entering a contract due to coercion or threats.

Nuisance

Liability for use of property that interferes with others’ rights to use or enjoy their own property.

Promissory estoppel

Legal principle that enforces a promise even if it is not a formal contract.

Capacity

A person's legal ability to enter into a contractual relationship.