1. Identify, define, and explain the various elements of a valid contract, giving an example for each. 2. Buyer offers to purchase Seller's commercial property for $1,250,000. Seller rejects the offer and offers to sell the property for $1,500,000. Buyer believes the price is too high and offers to purchase the property for $1,350,000. Seller accepts and adds that closing must occur within 45 days. Is there an enforceable contract between the parties? 3. The Oyers bought a home "as is" from American Bank. The bank's real estate agent represented to the Oyers that the home was fundamentally sound and had no structural defects. The Oyers inspected the home and found no obvious defects. Following closing, the Oyers discovered significant structural defects and sued the bank for the cost of fixing the defects. The bank denied knowledge of the real estate agent's representations and denied that it had been aware of the home's condition. The bank asserted that a property sold "as is" meant that the bank made "no express or implied warranties of any kind" to the buyers. Should the bank be held liable for the costs of fixing the home's defects? 4. Texas Incorporated listed a hotel to sell. Ramirez entered into a purchase agreement for hotel at $800,000. Ramirez paid $25,000 in earnest money. The agreement provided for liquidated damages if the purchaser for any reason failed or refused to complete the purchase. Ramirez included a financing contingency that the agreement was conditioned upon Ramirez finding satisfactory financing. Ramirez was not able to obtain satisfactory financing and decided not to purchase the hotel. Texas Incorporated demanded that Ramirez relinquish the earnest money deposit. Is Ramirez required to pay the liquidated damages?5. Assume the following scenarios and calculate the amount of monetary damages the designated party would be entitled to receive: a. Buyer enters into a contract with seller to purchase a property for $300,000. Buyer breaches the contract, and seller is able to sell the property to a new purchaser for $290,000. What monetary damages may the seller seek against the buyer? b. Buyer enters into a contract with seller to purchase a property for $320,000. Buyer breaches the contract, and seller sells the property to a new purchaser for $325,000. What monetary damages may the seller seek against the buyer? c. Buyer enters into a contract with seller to purchase a property for $300,000. Buyer breaches the contract, and seller sells the property to a new purchaser for $300,000. The contract contained a liquidated damages clause equal to the earnest money. Buyer put an initial deposit of $10,000 down on the property. What damages may the seller seek against the buyer? 6. Sophia submits a written offer to purchase a real estate property for $500,000. A few days later, Sophia decides to revoke the offer by sending a written revocation letter. After Sophia sends the written revocation, but prior to it being received, the seller of the property calts Sophia to accept the offer. Has Sophia entered into a contract to purchase the property? Why or why not? 7. Explain why the Statute of Frauds is required for some contracts but not others. Shoutd all contracts be required to be in writing to be enforceable? 8. Determine if a defense to the enforcement of the following contracts exists. If so, identify the available defense to the enforcement of the contract. a. Sean nds a beautiful home and submits an offer to purchase. The seller accepts Sean's offer. Unbeknownst to Sean, the structural support beams in the attic had signicant termite damage, and the seller concealed the damage by applying wood putty and painting over it. After Sean moved in, part of the attic collapsed due to the termite damage. Sean seeks to rescind the contract, but the seller says it's too late to rescind. b. Peggy is an elderiy grandmother. All of her faculties are intact; however, she is very lonely, as her grandson is the only one who visits her. During one of the visits, Peggy's grandson tells her that he will stop visiting her unless she conveys a portion of her home to him for his time spent visiting her. Peggy, not wanting to be alone, agrees and conveys to her grandson 50 percent of the title to her home. Peggy's children and other grandchildren are upset by this conveyance and want it set aside. 9. Research the disclosures that a seller is required to make to a buyer in a residential transaction in your state. Complete a similar exercise for a commercial transaction in your state. 10. Research the laws of your state to determine who bears the risk of loss once the contract has been executed. Discuss the potential advantages and disadvantages of the law of your state