Which of the following is not one of the types of contractual Capacity that can make a contract voidable? Select one: O a. minor O b. mental competency O C. intoxication O d. serious intent
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The contract is formed between two parties when they agree upon certain guidelines and actions to be taken. The agreement must be made in legal form so that any unethical act may terminate it. The termination could be based upon breach of contact, with concent of parties, or by legal decisions. Thus, contract law guidelines overall contract formation and its execution by providing rights to both parties.
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- 1. Which of the following describes when a person does not understand that a contract is being made or does not understand its general nature due to a mental condition caused by medication, drugs, alcohol, illness, or age. Factual incapacity Status incapacity Infactual incapacity Illegal incapacity 2. It’s possible the validity of a contract may be affected if one or both parties made a mistake. True False 3. Which of the following is not a problem area in determining whether the parties to a contract have genuinely agreed to be bound by the terms: Lack of contractual capacity Deception Pressure Privity of contract MistakeSue Flay's Cakery promises to pay Oscar Ruitt not to park in a city-designated no-parking zone in front of her store. This agreement is: (Choose all of the correct answers.) Not enforceable because Oscar Ruitt has no legal right to park in a city-designated no-parking zone Not enforceable because Oscar Ruitt never made any enforceable promise to Sue Flay's Cakery Not enforceable because Oscar Ruitt is merely making an illusory promise Enforceable because Oscar Ruit is giving up the right to do something he would otherwise have the right to do Enforceable because Sue Flay's Cakery is offering legally sufficient consideration to Oscar RuittIf a loan shark promises you $500 if you will rough up one of his nonpaying customers to encourage prompt repayment, what sort of contract is this? a.Valid b.Void c.Voidable d.Enforceable
- Assuming all other requirements have been met, which of the following terms generally must be included in a writing in order to satisfy the UCC Statute of Frauds regarding the sale of goods worth $500 or more? Price Yes No Yes O Yes Quantity Yes Yes No Yes Time of payment Yes No Yes NoIn 2010, X and B agreed that they will pretend that they will enter into a contract of sale so that X will have a lesser tax to pay. In the contract of sale, it was indicated that X will sell the car for P50Million to which B agreed. What is this kind of contract? A. Absolute simulation B. Relative simulation C. Factual simulation D. Fictional simulation2. Punitive damages are: a. generally not available in tort cases. b. often awarded in cases of contract interference. c. only available in negligence actions. d. None of the above
- The personal feature of property insurance contracts means that: * A) subrogation always applies B) ambiguities in the wording will always be construed against the insurer C) insurance contracts cannot be freely transferred to other parties D) the buyer of insurance must have insurable interest in property before the policy is issuedAn anti-modification clause: O a) prevents the terms of a contract from being changed by repeated waivers of breaches. O b) prevents evidence of prior or contemporaneous agreements which conflict or add to the terms of a written contract. O c) specifies the amount of damages in the event of a contractual breach and states that such damages cannot be modified or changed. O d) is necessary in a writing to satisfy the statute of frauds.Elaine is a secretary for a business. One day a customer comes in to file a new contract while Elaine is seated at her boss’s desk. The customer assumes Elaine is a person of authority, and Elaine is knowledgeable enough to help the customer file the contract. Which response aligns best with this situation? A) Enforceable or unenforceable with agency B) MUST be enforced because Elaine is an agent C) Enforceable or unenforceable—no agency
- You have a job bidding provision in the contract which says. Vacancies in bargaining unit positions shall be posted for seven (7) days. All bids filed with the posting period shall be considered. If qualifications are relatively equal, the more senior bidder shall be granted the position, provided, however, that employees granted a position hereunder shall be ineligible to be granted a new position for one year from the date of promotion. You hire an external applicant who is far better than the senior bidder. Under what circumstances could you hire the outside applicant under this language. What argument would you expect the union to make? What would you expect the union to say if you offered to grant the next vacancy to the senior person denied the position and why?Believing that his debt is due when in fact it is not, Dr paid his 10,000 debt to Cr. Give the effect of this payment? A. Dr may not recover because the payment is valid. b. Dr may not recover because anyway he is indebted to that amount and it has to paid. C. Dr. may recover his payment because it was not yet due together with the fruits and interest from the time of payment. d. Both a and bWhich of the following would not be considered an involuntary lien? Group of answer choices A deed of trust A pre-judgment attachment A tax lien A judgment lien