1.Dawn and Ed enter into an oral agreement with Dave and Kathy to purchase real property at 21 Knox Place for $85,000.00. The contract is not enforceable because it does not meet the Statute of Frauds writing requirement.

True

False

2.Requirements to a contract include: form, consideration, capacity, and legality.

True

False

3.One aspect that the court would consider when interpreting a contract is the plain meaning rule.

True

False

4.Administrative agencies exist on all levels of government.

True

False

5.A reward of $100 was advertised for the return of a lost cat. Paul unaware of the reward, finds the cat and returns it to the owner. Paul is entitled to the reward.

True

False

6.A contract that has been fully performed by both sides is said to be an executed contract.

True

False

7Certain persons are believed not to have the capacity to enter into a contract. They include the intoxicated, the mentally incompetent, and minors.

True

False

8.Michael owns a business firm that is making monthly payments on equipment bought from Best Equipment Co. Michael sells the business to Melissa who agrees in the contract of sale to make payments to Best Equipment Co. Later Best Equipment Co cannot look to Michael for payments because Best Equipment Co is the creditor beneficiary.

True

False

9.A realtor friend of the Crane family offered to get a buyer for their home and did so. There was no mention of a commission to which the realtor would have normally been entitled. After the sale goes through the realtor is owed a commission due to past consideration.

True

False

10.Consequential damages are the foreseeable damages as a result of a breach of contract.

True

False

11.Any oral and written words that fall outside of the 4 corners of a contract that are offered into evidence in court is considered Parol Evidence.

True

False

12.The test to determine whether there has been a failure to provide a rational explanation for a decision is the arbitrary and capricious test.

True

False