Question 1

Promissory estoppel is the legal enforcement of an otherwise unenforceable contract due to a party's detrimental reliance on the contract.

Accepted Answer

A) True 
 B)False

Question 2

A court will enforce one party's promise only if the other party promised something in exchange.

Accepted Answer

A) True 
 B)False

Question 3

For a court to enforce a promise,both parties must give consideration.

Accepted Answer

A) True 
 B)False

Question 4

In a unilateral contract,one party's consideration is a promise and the other party's consideration is an act.

Accepted Answer

A) True 
 B)False

Question 5

Forbearance is not sufficient consideration for a valid and enforceable contract.

Accepted Answer

A) True 
 B)False  False

Question 6

Courtney,who does not keep up with the price of current technology,agrees to buy a used computer from Jake for $2,500.Later,Courtney's friend Brice tells Courtney that she made a terrible deal and that she could get a better,new computer for no more than $1,000.Courtney tells Jake that she is not giving him any money because he has not been fair to her in terms of the computer price.Which of the following is the most likely result if Jake sues Courtney alleging breach of contract?

Accepted Answer

A)  Jake will win,but only if he can establish that the $2,500 price was actually reasonable.
B)  Jake will win because the court will not weigh whether a good bargain was made.
C)  Courtney will win if she can establish that she paid at least 75% more than the computer was actually worth.
D)  Courtney will win if she can establish that she paid at least 50% more than the computer was actually worth.
E)  Courtney will win if she can establish that she made a bad deal and that she was not actually aware of the current prices of both new and old computers.F) A) and C)
G) B) and E)

Question 7

Garage sale.Richard,who is cleaning out his garage,offers to sell Dawn a used computer for $200.Dawn replies that "I'll think about it and buy it if I decide to do so." Richard also calls Denise and offers to give Denise a used business law book.She is excited to receive the book and tells him that she will pick it up the next day.Richard also agrees to sell a communications book for $50 to Jill who promises to pick it up the next day.Meanwhile,Sam comes to visit,offers Richard $20 for the business law book and Richard sells it to him.Sam also offers Richard $50 for the used computer.Richard sells it to Sam because he does not expect to hear from Dawn.Sam sees the communications book and offers Richard $60 for it.Richard decides to forget about Jill and proceeds to sell the book to Sam for $60.Denise is very angry because Richard did not save the book for her and claims that he breached a contract because she had accepted his offer.Jill is also angry because Richard sold the communications book and informs him that he breached the contract he had with her.Exactly 31 days later,Dawn tells Richard that she would like the computer.She tells him that her response constituted consideration in that it bound him to an option contract and that he should have awaited her final decision.Richard tells Sam that he needs to return everything for a full refund.Sam refuses.Which of the following is true regarding Jill's claim that by selling the communications book for a higher price,Richard breached the contract he had with her?

Accepted Answer

A)  Jill is correct.
B)  Jill is correct,but only if she can establish that she had prior dealings with Richard.
C)  Jill is correct,but only if she can establish that she had provided past consideration in addition to the amount she agreed to pay for the book.
D)  Jill is incorrect because her acceptance was illusory.
E)  Jill is incorrect because the amount she agreed to pay was significantly less than the fair market value of the book; as a result,it did not constitute valid consideration.F) C) and D)
G) B) and E) A

Question 8

Which of the following is a valid Uniform Commercial Code (UCC) rule regarding checks marked "paid-in-full"?

Accepted Answer

A)  If a business inadvertently cashes a check marked "paid-in-full," the business has 30 days from the date it cashed the check to offer repayment in the same amount to the debtor and avoid an accord and satisfaction.
B)  If a business inadvertently cashes a check marked "paid-in-full," the business has 60 days from the date it cashed the check to offer repayment in the same amount to the debtor and avoid an accord and satisfaction.
C)  If a business inadvertently cashes a check marked "paid-in-full," the business has 90 days from the date it cashed the check to offer repayment in the same amount to the debtor and avoid an accord and satisfaction.
D)  If a business inadvertently cashes a check marked "paid-in-full," the business has 120 days from the date it cashed the check to offer repayment in the same amount to the debtor and avoid an accord and satisfaction.
E)  If a business inadvertently cashes a check marked "paid-in-full," the business has no recourse,and the debt is legally satisfied and discharged.F) A) and D)
G) A) and C)

Question 9

Which of the following is true regarding a valid accord and satisfaction?

Accepted Answer

A)  When the amount agreed upon is paid,the debt is fully discharged.
B)  When the amount agreed upon is paid,the debt is fully discharged except for any late charges due under the original agreement.
C)  When the amount agreed upon is paid,the debt is fully discharged except for any interest due under the original agreement.
D)  When the amount agreed upon is paid,the debt is fully discharged except for any late charges and any interest due under the original agreement.
E)  When the amount agreed upon is paid,the debt is fully discharged except for any late charges or interest due under the original agreement,or for any reasonable attorney's fees the creditor has accumulated in his or her attempt to collect the debt.F) A) and E)
G) A) and D) A

Question 10

Which of the following would not be considered an example of consideration?

Accepted Answer

A)  A promise to stay in a job until a particular project is completed.
B)  A promise to take care of your elderly grandmother in return for her payment to you of $2,000 per month.
C)  A promise to settle a sexual harassment case you filed against your supervisor and employer.
D)  A promise to stop drinking alcohol during exam week (assuming you are of legal drinking age) .
E)  A promise to pay your employees as required by law.F) A) and C)
G) None of the above

Question 11

In a unilateral contract,the consideration for a promise is ________.

Accepted Answer

A)  an act
B)  a return promise
C)  forbearance
D)  an invitation to negotiate
E)  a counterofferF) D) and E)
G) B) and E)

Question 12

Consideration is what a person will receive in return for ________.

Accepted Answer

A)  performing a contact obligation
B)  promising to make a gift
C)  performing an ethical obligation
D)  promising to perform an ethical obligation
E)  making a firm offerF) A) and E)
G) A) and B)

Question 13

Bank Robbery.Victor robbed Safe Bank of a significant sum of cash.Safe Bank offered a reward of $10,000 for anyone who captured or provided information leading to the capture of Victor.Ted,a police officer in town,promised Safe Bank officials that he would apprehend Victor.While on duty,Ted arrested Victor at a hamburger joint in town.He found Victor based upon a hunch he had after Ursula,who dated Victor,told him about various places Victor enjoyed eating.The bank refuses to pay either Ursula or Ted any of the reward money.In a lawsuit between the bank and Ursula,regarding the reward funds,who is likely to prevail and why?

Accepted Answer

A)  The bank is likely to prevail because Ursula only provided past consideration.
B)  The bank is likely to prevail because Ursula was tainted by being Victor's girlfriend.
C)  The bank is likely to prevail because no valid bilateral contract existed.
D)  Ursula is likely to prevail because a valid bilateral contract existed.
E)  Ursula is likely to prevail because an enforceable unilateral contract exists based on her provision of information leading to the capture of Victor.F) A) and C)
G) B) and C)

Question 14

Suppose that Dakiyah promises to pay Fernando $300 for his television.Fernando promises to sell Dakiyah his television for $300.The parties have not documented the transaction in writing.Which of the following is an accurate statement regarding this arrangement?

Accepted Answer

A)  There is no contract between the parties because the promises are not in writing.
B)  This is a unilateral contract.
C)  This is merely an invitation to negotiate.
D)  There is an oral contract.
E)  Dakiyah's promise constitutes an offer,while Fernando's promise is a counteroffer.F) A) and D)
G) None of the above

Question 15

Which of the following is a correct statement regarding whether an accepted offer to satisfy a debt by paying only part is consideration?

Accepted Answer

A)  Partial payment is consideration under all circumstances.
B)  Partial payment is not consideration under any circumstances.
C)  Partial payment is consideration if a liquidated debt is involved.
D)  Partial payment is consideration if an unliquidated debt is involved.
E)  Partial payment is consideration,but only if a liquidated or unliquidated debt is involved.F) A) and C)
G) C) and D)

Question 16

Define the terms liquidated debt and unliquidated debt,and discuss when an accord and satisfaction is enforceable.

Accepted Answer

In a liquidated debt,there is no dispute...

Question 17

Consideration is the thoughtfulness,as measured by an objective standard of reasonableness,a person exhibits as he or she carries out contractual obligations.

Accepted Answer

A) True 
 B)False

Question 18

When would a court consider the adequacy of consideration?

Accepted Answer

A)  To verify that property was sold at its fair market value.
B)  To verify that a sale of assets was not done to avoid payment to creditors.
C)  To verify that one party gave a promise in return for the act of another party.
D)  To verify that each party gave a valid promise to the other party.
E)  When one party has promised forbearance as consideration.F) B) and E)
G) C) and E)

Question 19

A promise to do something that you are already obligated to do is not valid consideration.

Accepted Answer

A) True 
 B)False

Question 20

Bank Robbery.Victor robbed Safe Bank of a significant sum of cash.Safe Bank offered a reward of $10,000 for anyone who captured or provided information leading to the capture of Victor.Ted,a police officer in town,promised Safe Bank officials that he would apprehend Victor.While on duty,Ted arrested Victor at a hamburger joint in town.He found Victor based upon a hunch he had after Ursula,who dated Victor,told him about various places Victor enjoyed eating.The bank refuses to pay either Ursula or Ted any of the reward money.Which of the following is true regarding the offer of the reward?

Accepted Answer

A)  It was made in the context of a bilateral contract that could only be accepted by the offeree's promise as consideration.
B)  It was made in the context of a bilateral contract that could only be accepted by the offeree's performance as consideration.
C)  It was made in the context of a bilateral contract that could be accepted by the offeree's promise or performance as consideration.
D)  It was made in the context of a unilateral contract that could only be accepted by the offeree's promise as consideration.
E)  It was made in the context of a unilateral contract that could only be accepted by the offeree's performance as consideration.F) D) and E)
G) A) and B)

Exam 10: Consideration

Promissory estoppel is the legal enforcement of an otherwise unenforceable contract due to a party's detrimental reliance on the contract.

Correct Answer
verified

A court will enforce one party's promise only if the other party promised something in exchange.

Correct Answer
verified

For a court to enforce a promise,both parties must give consideration.

Correct Answer
verified

In a unilateral contract,one party's consideration is a promise and the other party's consideration is an act.

Correct Answer
verified

Forbearance is not sufficient consideration for a valid and enforceable contract.

Correct Answer
verified
False

Correct Answer
verified

Correct Answer
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A

Which of the following is a valid Uniform Commercial Code (UCC) rule regarding checks marked "paid-in-full"?

Correct Answer
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Which of the following is true regarding a valid accord and satisfaction?

Correct Answer
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A

Which of the following would not be considered an example of consideration?

Correct Answer
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In a unilateral contract,the consideration for a promise is ________.

Correct Answer
verified

Consideration is what a person will receive in return for ________.

Correct Answer
verified

Correct Answer
verified

Suppose that Dakiyah promises to pay Fernando $300 for his television.Fernando promises to sell Dakiyah his television for $300.The parties have not documented the transaction in writing.Which of the following is an accurate statement regarding this arrangement?

Correct Answer
verified

Which of the following is a correct statement regarding whether an accepted offer to satisfy a debt by paying only part is consideration?

Correct Answer
verified

Define the terms liquidated debt and unliquidated debt,and discuss when an accord and satisfaction is enforceable.

Correct Answer
verified
In a liquidated debt,there is no dispute...
View Answer

Consideration is the thoughtfulness,as measured by an objective standard of reasonableness,a person exhibits as he or she carries out contractual obligations.

Correct Answer
verified

When would a court consider the adequacy of consideration?

Correct Answer
verified

A promise to do something that you are already obligated to do is not valid consideration.

Correct Answer
verified

Correct Answer
verified

Exam 10: Consideration

Promissory estoppel is the legal enforcement of an otherwise unenforceable contract due to a party's detrimental reliance on the contract.

Correct AnswerverifiedShow Answer

A court will enforce one party's promise only if the other party promised something in exchange.

Correct AnswerverifiedShow Answer

For a court to enforce a promise,both parties must give consideration.

Correct AnswerverifiedShow Answer

In a unilateral contract,one party's consideration is a promise and the other party's consideration is an act.

Correct AnswerverifiedShow Answer

Forbearance is not sufficient consideration for a valid and enforceable contract.

Correct AnswerverifiedFalse

Correct AnswerverifiedShow Answer

Correct AnswerverifiedA

Which of the following is a valid Uniform Commercial Code (UCC) rule regarding checks marked "paid-in-full"?

Correct AnswerverifiedShow Answer

Which of the following is true regarding a valid accord and satisfaction?

Correct AnswerverifiedA

Which of the following would not be considered an example of consideration?

Correct AnswerverifiedShow Answer

In a unilateral contract,the consideration for a promise is ________.

Correct AnswerverifiedShow Answer

Consideration is what a person will receive in return for ________.

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Suppose that Dakiyah promises to pay Fernando $300 for his television.Fernando promises to sell Dakiyah his television for $300.The parties have not documented the transaction in writing.Which of the following is an accurate statement regarding this arrangement?

Correct AnswerverifiedShow Answer

Which of the following is a correct statement regarding whether an accepted offer to satisfy a debt by paying only part is consideration?

Correct AnswerverifiedShow Answer

Define the terms liquidated debt and unliquidated debt,and discuss when an accord and satisfaction is enforceable.

Correct AnswerverifiedIn a liquidated debt,there is no dispute...View AnswerShow Answer

Consideration is the thoughtfulness,as measured by an objective standard of reasonableness,a person exhibits as he or she carries out contractual obligations.

Correct AnswerverifiedShow Answer

When would a court consider the adequacy of consideration?

Correct AnswerverifiedShow Answer

A promise to do something that you are already obligated to do is not valid consideration.

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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False

Correct Answer
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Correct Answer
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A

Correct Answer
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Correct Answer
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A

Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
In a liquidated debt,there is no dispute...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
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