BLaw 201 Midterm Study Guide Flashcards

Vocabulary-style flashcards covering the U.S. legal system, contract formation, alternative dispute resolution, and equitable remedies based on BLaw 201 Midterm notes.

Constitutions

The foundation of the nation or state; the U.S. Constitution is categorized as the supreme law of the land.

Statutes/Ordinances

Written laws enacted by legislatures, including Congress at the federal level, state legislatures at the state level, and city councils or county commissioners at the local level.

Uniform statutory laws

Model laws, such as the Uniform Commercial Code (UCC) and Uniform Partnership Act, that states can adopt to ensure consistency across jurisdictions.

Administrative law

Rules, orders, and decisions created by administrative agencies.

Case law / common law

Decisions or opinions issued by courts and judges; it applies when no constitutional or statutory rule exists or when statutes are unclear.

Private law

Rules that parties establish for themselves through the formation of a contract.

Service and Land Contracts Law

The type of law that applies to contracts involving services or real estate is common law.

Goods Contracts Law

The type of law that applies to contracts for goods, which are tangible, movable property, is statutory law (specifically the state UCC).

Civil Law

A system where an individual or organization sues another for matters like contracts, torts, or property, with money damages as the typical remedy.

Criminal Law

A system where the government (prosecutor) brings a case for acts like murder or assault, with remedies including fines or imprisonment.

Jurisdiction

The power of a court to decide a specific case.

Subject matter jurisdiction

A court's authority based on the type of case, such as federal vs. state, family vs. criminal, or trial vs. appellate.

Personal jurisdiction

The geographic location (district, state, or county) where a court has authority over the parties involved.

Precedent / binding authority

A decision by a higher court that lower courts in the same jurisdiction must follow for cases involving similar facts.

Stare decisis

A principle meaning 'stand by what is decided,' which holds that courts should follow precedent unless there is a reason to depart from it, as in Flagiello v. Pennsylvania Hospital.

Case of first impression

The very first case of its kind to be heard in a specific jurisdiction.

Choice of Law Clause

A contract provision where parties agree that the law of a specific state will govern any disputes.

Forum Select Clause

A contract provision where parties agree that a specific court will have the authority to decide any disputes.

Negotiation

An ADR method where parties attempt to resolve their dispute directly without third-party intervention.

Mediation

An ADR method where a neutral third party helps the parties reach their own agreement, though the mediator cannot force a settlement.

Arbitration

An ADR method where a neutral third party hears the dispute and issues a binding decision.

Federal Arbitration Act (FAA)

A law requiring federal and state courts to uphold arbitration awards unless there was corruption, bias, gross procedural error, or an abuse of power.

EFAA (Ending Forced Arbitration of Sexual Assault and Sexual Harassment Act, 2022)

An amendment to the FAA that allows survivors of sexual assault or harassment to reject mandatory arbitration clauses and sue in court.

The Big 3 Requirements for a Valid Contract

The three essential elements are: ($1$) Agreement (Offer + Acceptance), ($2$) Consideration, and ($3$) Legality and Public Policy.

Express contract

A contract where the terms are explicitly stated either in writing or orally.

Implied (implied-in-fact) contract

A contract where terms are shown through the acts and conduct of the parties; it has the same legal effect and enforceability as an express contract.

Bilateral contract

A type of contract where the offer is accepted by a promise, resulting in a promise-for-a-promise exchange.

Unilateral contract

A type of contract where the offer is accepted only by performing the requested act, such as reward offers or contests.

Executed contract

A contract that has been fully performed by both parties.

Executory contract

A contract that has been entered into but not yet fully performed.

Void contract

A contract that has no legal effect, often because its purpose is illegal.

Voidable contract

A contract where one party, such as a minor, has the legal right to cancel or avoid the agreement.

Objective Reasonable Person Test

The standard used to determine intent to contract by asking if a reasonable person would believe the offeror intended to be bound, as shown in Lucy v. Zehmer.

Definite & certain terms

A requirement for a valid offer that generally identifies the parties, the items/quantity, and the time of performance.

Auction without reserve (absolute auction)

An auction where the seller makes a unilateral offer to sell to the highest bidder and must sell to them.

Auction with reserve

The default auction rule where the seller is only soliciting bids, the bidders make the offers, and the seller can accept or reject them.

Option contract

An agreement where the offeree pays consideration to keep an offer open for a set period, making the offer irrevocable during that time.

Firm offer by a merchant (UCC)

A merchant's written and signed offer to sell goods that assures it will stay open; it is irrevocable for the stated time or a reasonable time not exceeding $3\,\text{months}$, even without consideration.

Mirror Image Rule

The requirement that acceptance must exactly match the terms of the offer; adding new or different terms creates a counteroffer that terminates the original offer.

Mailbox Rule

A rule stating that acceptance is effective on dispatch (when sent), while offers, revocations, and rejections are effective only upon receipt.

Consideration

A bargained-for exchange by both parties of something of legally sufficient value, which does not have to be fair or equal in value.

Forbearance

The act of refraining from doing something that one has a legal right to do, which counts as legally sufficient value for consideration.

Pre-existing legal duty

A promise to do something one is already legally or contractually obligated to do, which does not count as valid consideration.

Past consideration

An act done before a promise was made, which cannot serve as consideration because it was not given in exchange for that specific promise.

Illusory promise

A promise that is too vague to enforce or where performance is entirely optional, such as a clause to 'cancel at any time for any reason.'

Regulatory licenses

Licenses required for professionals (doctors, lawyers) or harmful goods (liquor, firearms); lacking this license generally makes a contract unenforceable by the unlicensed party.

Revenue licenses

Licenses like business name registrations or car registrations; failure to have one does not void the contract.

Usury

The act of a lender charging an interest rate that is illegal or excessive.

Severability

A legal principle allowing a court to cut out an illegal or unconscionable clause while enforcing the remainder of the contract.

Quasi Contract (Implied-in-Law)

An equitable remedy used to prevent unjust enrichment when no actual contract exists; the remedy is the reasonable value of the benefit conferred.

Promissory Estoppel (Detrimental Reliance)

A doctrine that makes a promise enforceable without a contract if the promisee reasonably and substantially relied on it to their detriment and injustice can only be avoided by enforcement.