three steps of a contract
offer, acceptance, and consideration
bilateral contract
is an agreement containing mutual promises - both people make promises
unilateral contract
is an agreement with only one promise, and only one party is committed to perform
quasi-contract
Are a judicial remedy to prevent one party from receiving unjust enrichment.
the doctrine that requires this result is based on an implied-in-law contract. Since there really is no actual contractual agreement, the phrase quasi-contract is often used.
enforceable contract
when courts uphold the validity of such promises, the resulting agreement is an enforceable contract
unenforceable contract
if a non performing party has a justifiable reason for noncompliance with a promise, the result is an unenforceable contract.
a defense exists that denies the legal enforcement of an agreement.
valid contract
when an agreement is enforceable because all the essential requirements are present, courts refer to a valid contract.
void contract
is one that appears to be an agreement but lacks an essential requirement for validity and enforceability
voidable contract
is an agreement when at least one party has the right to withdraw from the promise made without incurring any legal liability.
executed contract
is one in which the parties have performed their promises.
executory contract
when the parties have not yet performed their agreement
mirror image rule
for an acceptance to create a binding contract, standard contract law requires that the acceptance must “mirror” the offer exactly.
mailbox rule
the acceptance becomes binding when it is “deposited” with the postal service. aka deposited acceptance rule
consideration
the receipt of a legal benefit or the suffering of a legal detriment. courts will not enforce contractual promises unless they are supported by consideration.
promissory estoppel or reliance contract
an exception to the rule requiring consideration to support a promise is the doctrine of promissory estoppel. Is increasingly used when the facts of a business relationship do not amount to an express or implied contract.
capacity to contract
refers to a person’s ability to be bound by a contract. Minors, Intoxicated persons, and mentally incompetent persons.
statute of frauds
is the law requiring that certain contracts be in writing Sale of an interest in land collateral promise to pay another's debt cannot be performed within one year Sale of goods of $500 or more
common law
common law comes from judge’s decisions
parol evidence rule
this rule states that parties to a complete and final written contract cannot introduce oral evidence in court that changes the intended meaning of written terms.
condition precedent
if something must take place in the future, before a party has a duty to perform
condition subsequent
excuses contractual performance if some future event takes place
substantial performance
is a middle ground between full performance and a breach due to nonperformance.
impossibility of performance
a party’s nonperformance is excused because of impossibility of performance. may occur because of death of an essential party, the destruction of essential materials, or the subject matter of the contract becomes illegal.
waiver
when a party intentionally relinquishes a right to enforce the contract, a waiver occurs.
release
when a party announces the other party does not have to perform as promised, a release exists.
principal
interacts with someone for the purpose of obtaining that second party’s assistance.
agent
the second party to the principal is the agent
independent contractor
a principal may hire an independent contractor to perform a task
eight remedies of breach of contract
Negotiated settlement, arbitration, compensatory damages, specific performance, consequential damages, liquidated damages, rescission, nominal damages
subject matter jurisdiction
for any court to hear and decide a case at any level, it must have subject matter jurisdiction, which is the power over the issues involved in the case
appellate courts
the parties to litigation are entitled as a matter of right to a review of their case by a higher court, or an appeal, if the requirements of procedural law are followed in seeking the review.
courts of appeal
the intermediate courts are usually called the courts of appeal, and the highest court is called the supreme court
the ______ law of the land is the _________
the supreme law of the land is the constitution
the three courts in order are
trial court, appellate court, supreme court
writ of certiorari
a petition for leave to appeal
defendant
the one being sued
plaintiff
the one who is suing
actual authority
you have actual authority in the situation like a restaurant manager making decisions for the business
apparent authority
existing or previous authority being used after actual authority is revoked. it is the company’s responsibility to alert others of loss of authority
standing to sue
the plaintiff must establish that he or she is entitled to have the court decide the dispute
two requirements for standing to sue
the plaintiff must allege that the litigation involves a case or controversy.
the plaintiff must allege a personal stake in the resolution of controversy
personal jurisdiction
personal jurisdiction over the plaintiff is obtained when the plaintiff files the suite
complaint
lawsuits begin by a plaintiff filing a pleading, called a complaint, with the court clerk
motion
when a question of law is at issue, the parties can seek a pretrial determination of their rights by filing a motion with the court.
a document allowing authority
three elements of discovery
interrogatories, request for production of documents, depositions, request for an admission
verdict
the jury’s decision is called a verdict and it is announced in the courtroom when the jury’s deliberations are completed.
burden of proof
describe the party at a trial with the burden of coming forward with evidence to establish a fact