Blaw 3

lcarter's version from 2016-04-27 20:40

Section 1

Question Answer
Parts of ConsiderationLegally sufficient value and bargained-for exchange
Legally sufficient value may consist of:Promise to do something; Performance of an action; Refraining fron an action
Bargained-for ExchangeThe item must be given or promised to be given to person for an action
Preexisting DutyYou cannot make a contract over an action that one already has a legal duty to do
Unforeseen DifficultiesCourts may impose exceptions to preexisting duty if unforeseen difficulties pop up
RecissionThe act of canceling a contract by both parties

Section 2

Question Answer
Past ConsiderationPromises made in return of past events are not enforceable
Illusory PromisesWhen the contract is so vague there is no definite performance; not consideration and not enforcable
Option-to-cancel clauseMakes contract illusory if states could happen at any-time
Requirement ContractBuyer agrees to buy what they need from seller
Output ContractBuyer agrees to buy everything that the seller has made

Section 3

Question Answer
Accord and SatisfactionWhen a debtor and creditor agree to get rid of debt obligation for lesser amount
Liquidated DebtCannot be used for accord and satisfaction
ReleaseContract in which one party forfeits the right to pursue a legal claim against the other party
Covenant not to sueAgreement to take alternative legal action to suing in case something disputes

Section 4

Question Answer
Promissory EstoppelWhen a person has taken reliability on a promise
Promise to pay debt barred by statue of limitationsCreditor must sue within reasonable amount of time
Promises to make charitable subscriptionsCounts as promissory estoppel

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