Unit 7 and 8 Intro to Law Test Guide

Contract

A two party promise enforceable by law, formed voluntarily to protect both parties; may be verbal or written.

Examples of Contracts

Marriage, employment, lease, insurance, and financial agreements.

Offer

A proposal made with serious intent, communicated directly, definite, and not a joke or social agreement.

Objective Intent

The offer must be serious.

Directly Expressed

The offer is communicated directly to the intended offeree.

Not in Jest/Anger/Social

Offer cannot be made jokingly, in anger, or as a social agreement.

Definite Terms

The offer must include details.

Sufficiently Clear

The offer must sound like an actual offer.

Not an Advertisement

Ads are invitations to negotiate, not offers.

Revocation

Offeror withdraws the offer before acceptance.

Rejection

Offeree declines the offer.

Stated Time Lapses

Offer expires when the stated time ends.

Counteroffer

Any change to the offer that terminates the original offer.

Incapacitation

One party becomes unable to respond.

Destruction of Subject Matter

The item or subject involved in the offer is destroyed.

Acceptance

Direct communication agreeing to the offer with no changes.

Mirror Image Rule

Acceptance must match the offer exactly.

Silence Not Acceptance

Silence cannot be treated as agreement.

Clickwrap Agreements

Agreements accepted by clicking an on

Valid Clickwrap Requirements

Must be visible, require active consent, easy to understand, and enforceable.

Mailbox Rule

Acceptance is effective when mailed, not when received.

Oral Acceptance

Effective when spoken directly to the offeror.

Fax Acceptance

Preferred communication method for businesses.

Customary Method

Use the acceptance method stated in the offer.

Verbal Acceptance

Spoken agreement.

Genuine Assent

True agreement with no duress, mistake, misrepresentation, or fraud.

Duress

Using force or threats to coerce an agreement.

Economic Duress

Unfair financial pressure used to force agreement.

Mutual Mistake

Both parties misunderstand an important fact.

Unilateral Mistake

Only one party is mistaken.

Undue Influence

Using power or trust to pressure someone into a contract.

Innocent Misrepresentation

Unintentional false statement of fact that is material and relied upon.

Active Concealment

Hiding a problem intentionally.

Fraudulent Misrepresentation

Intentional false statement causing financial harm; allows suing for damages.

Right of Rescission

The right to cancel a contract.

Ratification

Legally binding approval of a contract.

Legal Purpose

The purpose of the contract must be lawful.

Unconscionable Clause

Extremely unfair term in a contract.

Usury Laws

Set maximum legal interest rates.

Price Fixing

Businesses agreeing to charge the same high price.

Non Compete Agreement

Prevents employees from joining competitors or sharing secrets.

Exculpatory Clause

Liability waiver; cannot protect against negligence.

Consideration

Both sides give up something and receive something of value.

No Consideration

If something is free, there is no enforceable exchange.

Non Monetary Consideration

Something of value that is not money.

Capacity

Both parties must be willing and competent.

Voidable Contracts

Contracts involving minors, mentally incompetent persons, or intoxicated individuals.

Disaffirming a Contract

Cancelling a contract due to lack of capacity.

Verbal Contracts

Valid but less reliable than written contracts.

Benefits of Written Contracts

Provide clarity, proof, and enforceability.

Statute of Frauds

Requires written contracts for long

Electronic Signatures

Legally valid but not required to be accepted.

E Signature Exempt Documents

Wills, trusts, adoptions, divorces, foreclosures, insurance cancellations.

Breach of Contract

Failure to perform contractual obligations.

Ways to Breach

Not performing, making performance impossible, or refusing to perform.

Non Breaching Party Options

Urge reconsideration, use ADR, or sue for damages.

Cyber Law

Law governing Internet use and digital technologies.

Cyber Crime

Crime where a computer is the target or the weapon.

Cyber Harassment

Using a computer to harass or post private info about someone.

Identity Theft

Using someone else’s personal information for gain.

Hacking

Breaking into a computer or network.

Computer Virus Transmission

Sending malicious code to cause damage.

Copyright Infringement

Using creative work without permission.

Crimes Against Government

Cyberterrorism, cyberwarfare, accessing classified information.

Pirating Software

Illegally copying or distributing software.

Cybersecurity Attack

Attempt to breach information systems.

Malware

Harmful software such as viruses, worms, or trojans.

Phishing

Fraudulent attempts to obtain information through fake emails.

Password Attacks

Attempts to break into accounts via password theft.

Jurisdiction Issues

Difficulty determining which court handles cyber crimes.

International Issues

Criminals may be located in other countries.

Lack of Cyber Laws

No international cyber jurisdiction laws.

Difficulty Collecting Evidence

Digital evidence stored in the cloud is hard to obtain.

Anonymity

Criminals can hide their identities online.

Online Threats

Legally unclear area; context affects interpretation.

First Amendment Online

Most online speech is protected except credible threats.

Context Factor

Social conditions (like school shootings) influence threat assessment.

Intellectual Property

Creations of the mind protected by law.

Copyright

Protects creative works like music, writing, art.

Trademark

Protects brand names, logos, and symbols.

Patent

Protects new inventions.

Trade Secret

Confidential business information like formulas or recipes.

Right to Privacy

Protection from unauthorized access to personal information.

Pharming

Redirecting users to fake websites to steal information.

Email Monitoring

Employers may legally monitor company email.

Employer Social Media Rules

Employers can fire employees for harmful online posts.

Digital Footprints

Employers can check online history before hiring.

Password Privacy Laws

Some states ban employers from requesting passwords.

Cookies

Track, store, and personalize user data on websites.

Cookie Uses

Recognize users, target ads, track viewed items.

Cookie Risks

Can be used to spy on online activity.

Clearing Cookies

Recommended for privacy and security.

No Federal Data Privacy Law

U.S. lacks a single comprehensive privacy law.

Protected Data Types

Children under 13, financial data, and health information.

Identity Theft (Definition)

Using someone’s information without permission for gain or harm.

Spamming

Sending large amounts of unwanted digital messages.