Business Law Chapter 8

Agreement and Consideration in Contracts

What Elements are required for an offer to be effective under common law? (3 answers)

What Condition must be met for an offer to be legally Accepted? (2 answers)

What factors are used to judge if consideration is adequate to ensure a fair bargain? (2 answers)

What is the term for a contract agreement in which an offeror promises to pay after the occurrence of a specified act, and the offeree is not required to respond in words.

unilateral contract (a promise for an act)

How may a revocable offer effectively be revoked? (2 answers)

Under the UETA, if a party does not follow the security procedures and then fails to detect an error, what happens?

The party who followed the procedures can avoid the effect of the error.

What type of contract exists when at least one party has the option of canceling it?

Voidable

What factors make an agreement enforceable under the principle of quasi-contract (2 answers)

Sal has ordered 100 pounds of shrimp for his restaurant from Sam every Friday for 5 years and has always paid that week’s market price. One Friday, Sal decides to take a vacation but doesn’t tell Sam. Sam claims they have a contract, even though it was never written down. What kind of contract do they have?

Implied in fact.

Quon and Bert have signed a contract for Bert to mow Quon’s grass every week in June, July, and August for a price of $40 per week. They have agreed to all the necessary terms, but Bert has not yet mowed because it is still May. What type of contract do they have?

executory