Simon bought a used yacht from Marvel's Marina and Boatyard for $70,000 to be paid in installments over six years. He traded in his smaller yacht for $10,000 at the same time, but Marvel wanted to keep the two transactions separate for financial reasons and he promised to issue a cheque to Simon for the trade-in. Marvel assigned the $70,000 contract to Strait and Naro Finance (S and N). The first Simon knew of this was when he received copies of both contracts and a notice to pay the payments to S and N. In the situation which of the following is most correct? given, Marvel cannot pass its contractual rights to someone else without Simon's agreement Simon can make the payments to either Marvel or S and N, and, if he makes them to Marvel, Marvel is obligated to forward them to S and N. Simon must make the payments to S and N from now on. S and N cannot force Simon to pay them since they lack privity of contract with him. On June 1st the Mega Marketing Research Firm sent out a mail survey to 5,000 potential customers of Mega's client company. The survey stated that everyone who completed the survey and mailed it back would receive a prize. Mega did not expect everyone to respond to the survey and had only 1,000 prizes on hand for the respondents. On July 14th Sam mailed back his response and eagerly awaited his prize. On July 15th Mega sent out the last prize it had. Sam's response arrived on July 16th. It was the 1001st and Mega wrote back telling Sam that unfortunately all the prizes were gone and he would not be able to have one. Sam made a counteroffer by returning the completed survey. Mega had essentially revoked its offer before Sam accepted No contract was formed here as there was no communication of Sam's acceptance before Mega's offer lapsed Mega may assert that silence is not acceptance and Sam did not communicate his acceptance on time. A valid contract was formed between Mega and Sam Marion buys a very expensive television set as a gift for her mother. In the store, she explains that it is a gift to reconcile her mother to the fact that she is emigrating to Australia and to give her some company once Marion leaves. Shortly after Marion leaves, the television stops functioning and despite heroic efforts by the T.V. repairman it never works again. Marion's mother cannot get a refund from the store, so she brings an action for breach of contract. There is no privity of contract between Marion's mother and the store so she would not win a breach of contract suit Since Marion's mother can show the television is not working and cannot be made to do so, she can prove under the Sale of Goods Act that there has been a breach of the contract with her and she will win Since the store knew that the television was a gift for her, and Marion cannot enforce the contract because she is in Australia, the judge will treat the contract as one between Marion's mother and the store None of the above are true. Bernie Nohave is operating a scheme whereby investors' money is utilized to buy AIDS drugs in Africa. The money is then deductible as a charitable donation for tax purposes. Tom invests in this scheme to generate tax losses knowing that medicine is not being purchased. Is the contract valid? No, everyone knows that Bernie is bankrupt. No, this transaction is ultra vires Bernie Nohave's corporation No, there is no consideration. No, the subject matter of the contract is illegal. No, there is no capacity Simon bought a used yacht from Marvel's Marina and Boatyard for $70,000 to be paid in installments over six years. He traded in his smaller yacht for $10,000 at the same time, but Marvel wanted to keep the two transactions separate for financial reasons and he promised to issue a cheque to Simon for the trade-in. Marvel assigned the $70,000 contract to Strait and Naro Finance (S and N). The first Simon knew of this was when he received copies of both contracts and a notice to pay the payments to S and N. In the situation which of the following is most correct? given, Marvel cannot pass its contractual rights to someone else without Simon's agreement Simon can make the payments to either Marvel or S and N, and, if he makes them to Marvel, Marvel is obligated to forward them to S and N. Simon must make the payments to S and N from now on. S and N cannot force Simon to pay them since they lack privity of contract with him. On June 1st the Mega Marketing Research Firm sent out a mail survey to 5,000 potential customers of Mega's client company. The survey stated that everyone who completed the survey and mailed it back would receive a prize. Mega did not expect everyone to respond to the survey and had only 1,000 prizes on hand for the respondents. On July 14th Sam mailed back his response and eagerly awaited his prize. On July 15th Mega sent out the last prize it had. Sam's response arrived on July 16th. It was the 1001st and Mega wrote back telling Sam that unfortunately all the prizes were gone and he would not be able to have one. Sam made a counteroffer by returning the completed survey. Mega had essentially revoked its offer before Sam accepted No contract was formed here as there was no communication of Sam's acceptance before Mega's offer lapsed Mega may assert that silence is not acceptance and Sam did not communicate his acceptance on time. A valid contract was formed between Mega and Sam Marion buys a very expensive television set as a gift for her mother. In the store, she explains that it is a gift to reconcile her mother to the fact that she is emigrating to Australia and to give her some company once Marion leaves. Shortly after Marion leaves, the television stops functioning and despite heroic efforts by the T.V. repairman it never works again. Marion's mother cannot get a refund from the store, so she brings an action for breach of contract. There is no privity of contract between Marion's mother and the store so she would not win a breach of contract suit Since Marion's mother can show the television is not working and cannot be made to do so, she can prove under the Sale of Goods Act that there has been a breach of the contract with her and she will win Since the store knew that the television was a gift for her, and Marion cannot enforce the contract because she is in Australia, the judge will treat the contract as one between Marion's mother and the store None of the above are true. Bernie Nohave is operating a scheme whereby investors' money is utilized to buy AIDS drugs in Africa. The money is then deductible as a charitable donation for tax purposes. Tom invests in this scheme to generate tax losses knowing that medicine is not being purchased. Is the contract valid? No, everyone knows that Bernie is bankrupt. No, this transaction is ultra vires Bernie Nohave's corporation No, there is no consideration. No, the subject matter of the contract is illegal. No, there is no capacity