1- A is super rich and has 5 Rolex watches. B is a friend of A's from when they were very little. B has worked hard in life, but doesn't have much money. One day, B tells A that he really likes A's special edition Chicago Cubs Rolex (1 of 5 ever made), which has a value of about $50,000. A

offers to sell the watch to B for $1,000a very large discount. B accepts, and they both sign a sticky note with the words "CC Rolex and $1,000." Before A and B are scheduled to meet, A has second thoughts and emails B that the offer was really a gift and that A has decided to not go through with it. If he wanted to, could B successfully sue A to force him to sell B the watch for $1,000? Yes/No. Explain your answer.

2- A and B agreed for B to paint A's house for $3,500 and for B to complete the work by August 15 . On June 30 , B tells A that B needs another $750 to complete the work now or he is going

to delay the work on A's house to do more profitable work. A agrees to pay B the additional

the $750. B completes the work by August 15 . A pays B $3,500, but refuses to pay him the

additional $750? If B sues A, will B be able to recover the extra $750? Yes/No. Explain your answer.

3- A and B enter into a three year requirements contract where A will supply all of the yellow tennis balls that B sells at his tennis pro shop. After two years, B's business partner tells B to focus her sales efforts on blue tennis balls. As a result, she puts all of the yellow tennis balls in the back of the pro shop and changes all of her signage to blue tennis balls. She still sells some yellow tennis balls, but very little compared to what she used to sell and her sales of blue tennis balls. Over a year, she has sold just 10% of the yellow tennis balls that she sold in each of the prior two years. A is upset that B has sold so few yellow tennis balls. If A sues B, will A be successful? Yes/No. Explain your answer.

4- In December, Alexei promises to give Alicia $100, because she took care of his garden when he was on vacation for a month during the previous summer. Will Alicia will be able to enforce Alexei's promise and recover $100? Yes/No. Explain your answer.

5- Nora enters into a contract with Owen's delivery service, which Nora drafted, for the delivery of a shipment of fresh produce. Assuming these are all the facts of the case, if there are ambiguities in the contract, a court will interpret them

A. against Nora, because she is the party who drafted the contract.

B. against Owen, because Owen had the greater bargaining power.

C. against the produce grower.

D. against no party, because there are no rules of interpretation that would apply in this situation.

6- B hires Taylor Swift to write a new song for B's wedding. B agreed to pay Ms. Swift $5,000 for the song so long as he found the song "fun but not too fun." Ms. Swift finishes the song and plays it for B. B decides it is too fun and refuses to pay. Ms. Swift then plays it for her friends who describe it as "amazing" and "fun but not too fun." Ms. Swift sues B for the $5,000. Will she win? Yes/No. Explain your answer.

7- A enters into a contract with B, where B agreed to buy A's house for $200,000, subject to B obtaining approval for a mortgage for at least $150,000 with an interest rate of no more than 5% within 30 days after the contract was signed. After signing the contract, B emailed a bank and asked for a loan application. B completed the application, but the bank required more information than B wanted to provide. B didn't provide the information. B was so frustrated with the "bean counters" at the bank that B did not apply to any other lenders. After 30 days, B told A that he was not approved for the mortgage so he was cancelling the contract. Did B have the right to cancel the contract? Yes/No. Explain your answer.

8- A and B enter into a contract for A to build a house for B. The contract lists five stages of the project and provides that prior to A being paid for completing any stage, the architect selected by B needs to approve the quality of the work performed in that stage. B selects Renee as the architect. A completes stage 1 and Renee approves it. A completes stage 2 and Renee approves it. While A is working on stage 3, Renee tells B that she believes that A is overcharging B for the work. Renee tells A that she can use her approval right on stage 3 to get B to negotiate fair terms with A. A completes stage 3 and Renee refused to approve it. A and B cannot reach agreement on new terms. Because Renee has not approved stage 3, A refuses to pay. B sues A for the amount payable under the agreement for stage 3. Will B be successful? Yes/No. Explain your answer.

9- A is recovering from surgery and is unable to clean his house. A hires B to clean the house once per week for $50 for the six weeks that A needs to recover. A and B agree that A will pay B at the end of the six weeks. B cleans the house three times and then decides to go to Canada for the rest of the summer and refuses to clean the remaining three times. Can A withold the $300 from B in light of B's failure to clean the house for the agreed upon period? Yes/No. Explain your answer.

10- When a court finds that the obligations of the parties to a contract are "not divisible," if a party performs it's obligations for one part, the other party is obligated to make full payment for that part even if the first party is in material breach of its obligations with respect to the remaining parts of the contract. True/False

11- A party's failure to fully perform their obligations under a contract without a lawful excuse for that failure results in a breach of contract. True/False

12- A orders 100 baseball hats with the logo of her computer company on it. The logo is a black hashtag on a light blue background. The inside of each hat was to include A's slogan that she puts on all of her marketing materials and constantly tweets about"A always meets your computer needs." Someone in the hat manufacturing company mistakenly changed the slogan on the hats. When the hats arrive, they look perfect, except the slogan on the inside reads: "A's computers are the best!" A's friend tells A she likes that slogan even better. Can A send back the hats and refuse to pay for them? Yes/No. Explain your answer.

13- If a party indicates that they may be unable to perform their obligations in the future, that qualifies as anticipatory repudiation and the other party has the right to cancel the contract. True/False

14- Todd hires Fred, a highly skilled painter, to paint a portrait of his favorite dog, Pupsy. Fred doesn't really want to do the job because Pupsy refuses to sit still. Two weeks before Fred is

going to start the work, he reads a story in the newspaper that the restaurant Todd owns may be closing because of financial problems. Fred knows that the restaurant is Todd's only source of income. Fred is relieved that he has an excuse to get out of the deal. Fred writes Todd an email explaining that due to Todd being unable to pay Fred is cancelling the agreement and will not be painting Pupsy's portrait. Does Fred have the legal right to cancel the agreement? Yes/No. Explain your answer.

15- Contracts that must be in writing to be valid include contracts:

a. For the sale of real property

b. Which cannot be performed within 1 year

c. To pay the debt of another

d. All of the above

16- The Statute of Frauds does not allow for exceptions. True/False

17 - If the Statute of Frauds requires that a contract be in writing, all of the terms must be in a single document. True/False

18- Which of the following contracts involving real estate must be in writing to be enforceable?

1. a)a two-year lease
2. b)a sale of a partial interest in the property for $400
3. c)a sale of the property for $500,000
4. d)all of the above

19- On January 31, 2013, Antonio, who is a florist, enters into an oral contract with Stage-It, Inc., in which Antonio agrees to provide floral arrangements at all properties that Stage-It "stages" for high-end property showings in King County, from February 1, 2013 through January 31, 2015. This contract is enforceable by

1. Antonio only.
2. Stage-It, Inc., only.
3. either party.
4. neither party.

20- A places a telephone order of twelve sets of tires from B for a total of $750. A then sends B a check for the full amount as advanced payment. B deposits the check in the bank. B can still challenge the enforceability of the contract under the Statute of Frauds. True/False.

21- If the Statute of Frauds applies, a contract needs to be in writing and signed by both parties in order to be legally enforceable. True/False

22- A contract that is required to be in writing by the Statute of Frauds can only be cancelled in writing. True/False

23- A and B enter into a contract where B agreed to renovate A's McDonalds store. A agreed to pay B $250,000 for the work. The contract requires that the work be complete by August 1, 2020. The contract provides that the amount A is obligated to pay B decreases $1,000 per day for each day B is late with the completion of the renovation. B completes the renovation on August 10, 2020. Which one or more of the following are correct:

1. This is an example of a Blunderbuss clause;
2. A's damages are best described as nominal damages;
3. The contract contains an enforceable liquidated damages clause;
4. The contract contains an unenforceable liquidated damages clause.

24- Vu enters into a contract with Sarah (who owns the only house in the neighborhood that is always overgrown and messy) to landscape the property and update its appearance, but then Sarah tries to back out of the contract. Can Jorge, Sarah's next-door neighbor, who had been hoping to list his house for sale after the "makeover" of Sarah's house, sue to enforce the contract between Sarah and Vu? Yes/No. Explain your answer.

25- Kyoto enters into a contract with Danielle to cater Danielle's dinner party. Kyoto caters the party, but Danielle has not yet paid him. This contract is

1. executory on the part of Danielle
2. executory on the part of Kyoto
3. executed on the part of Danielle
4. none of the above

26- What language should be included in a contract when it is important that it be performed by a certain deadline?

1. A sentence saying that there are no exceptions to any stated deadlines.
2. The word "rush" in bold type
3. "Time is of the essence"
4. There is no need to include anything but the date by which it must be performed.

27- Under which of the following circumstance may a party fail to perform under a contract without being held liable for breach of contract?

1. After the other party has breached the contract
2. If the subject of the contract is destroyed
3. If performance has been made impossible by the other party
4. All of the above