Contract Law Key Terms

Contract Law Key Terms

1. Acceptance

   • Willingness by the offeree to go along with the offer

2. Benefits

   • Something you recieve

3. Bilateral

   • Two promises 

4. Capacity

   • Legal ability to enter into a contract

5. Consideration

   • Exchange of benefits and detriments

6. Counteroffer

   • Change in offer

7. Death

   • Offeror dies 

8. Detriments

   • Loss suffered

9. Duress

   • Overcoming a person free will by force

10. Economic Duress

    • Threats to a person's business or income

11. Emancipation

    • Severing of the parent- child relatioship

12. Express

    • Contract written or oral

13. Firm offer

    • Written offer for goods. States how long offer stay open

14. Forberance

    • Don't have the right to do something

15. Fraudulent Misrepresentation

    • Untrue statement of fact

16. Genuine Agreement

    • Valid offer 

17. Illusory Promises

    • Wording that allow party to escape legal obligation

18. Implied

    • Contract comes from action of party

19. Insanity

    • offeror is insane

20. Legality

    • Illegal Contracts

21. Mentally Incapacitates

    • Lacking ability to understand consequences 

22. Mirror image Ruke

    • Terms acceptance match terms of offer

23. Mutual mistake

    • Both parties mistaken about important fact

24. Nominal Consideration

    • Token amount in a contract where parties do not want to state the amount or cannot state it

25. Offer

    • Proposal with intent to create a legal binding agreement

26. Offeree

    • Offer made to this person

27. Offeror

    • Makes offer

28. Option

    • Offeree gives offeror something in value in return for a promise to keep offer open

29. Oral

    • Speaking

30. Past performance

    • Act already been performed. Not in consideration

31. Price fixing

    • Competitors agree on certain price

32. Rejection

    • Offeree refuses

33. Restrictive covenant

    • Agreement can't be in region for a period of time

34. Revocation

    • Taking back on an offer by offeror

35. Statue of Frauds

    • Requires that certain contracts be in writing to be enforceable

36. Unconacionable

    • SO grossly unfair or oppressive

37. Undue Influence

    • Unfair and improper persuasive pressure within a relationship of trust

38. Unenforceable contract

    • Contract that court will not uphold

39. Unilateral

    • Contains a promise by only one person

40. Unilateral Mistake

    • Error on the part of one of the parties

41. Usury

    • Charging too high of an interest rate

42. Valid contract

    • Includes all elements recognized by the courts

43. Void Contract

    • Without legal effect

44. Voidable contact

    • One or more parties can get out of contract for some legal reason

45. Written

    • Contract terms are written so that both parties know the exact terms