TRUE/FALSE-
Place a T for True or an F for False in front of each of the following statements.
___ A contract that has been fully performed is an executory contract.
_____ A written contract to buy a home is an express contract.
_____ A void contract is often referred to as a contract where one party has the option to void the contract if they wish.
_____ A revocation of an offer is effective as soon as it is sent to the Offeree.
_____ An advertisement for sale is not considered an offer.
_____ If a Party makes a counteroffer, then the original offer is considered to be terminated.
_____ At common law, if an Offeree changes the terms of the offer received, they can still accept the original offer with the changes made.
_____ If there is a contract and one of the parties dies, the contract must be carried out by the Estate of the dead party.
_____ A General Partner in a Limited Partnership has the right to make any decisions on behalf of the partnership; without consultation to the Limited Partners.
_____ If I make a promise of a gift, there is not an enforceable contract created.
_____ If I promise to pay my 16-year-old son $5,000 if he refrains from smoking, this is an enforceable contract.
_____ Corporate shareholders are only liable to creditors of the corporation up to the amount of their investment.
_____ If I promise to buy my wife a new car and as a result, she sells her old beat up the car I have created an enforceable gift based on the theory of quasi-contract.
_____ In a General Partnership, each of the partners is jointly and severally liable for the debts of the business.
_____ A parent is liable for the contracts made by their emancipated minor children.
_____ A Principal is responsible for the torts committed by their Agents outside the course and scope of their employment.
_____ A contract that contains a usurious interest rate is an example of an illegal contract.
____ In general, if there is a unilateral mistake in a contract, the party making the mistake will be allowed to rescind the contract in order to avoid an unjust result.
_____ If I give my wife a card to sign telling her that it is a note to our family and on the back of the card is a power of attorney allowing me to sell all of her assets; this is an example of Fraud in the Inception.
_____ In general if there is a written contract; the Parol Evidence Rule will not allow additional documentation to interpret the written contract.
_____ A Principal is typically not responsible for the torts committed by their Independent agent.
_____ The named beneficiary of a life insurance policy is called an intended beneficiary.
_____ Liquidated damages are determined by the court in order to compensate a Plaintiff for actual damages.
_____ A writ of garnishment is a court order that directs that bank accounts or wages of a defendant are paid over to the Plaintiff after a judgment has been issued.
_____ An Agency Agreement is terminated only if the Principal dies; not if the Agent dies.