Contracts

Which of the following is an example of a contract?...

• I offer to rent you a room in my house and you accept the offer

• I bring a cup of coffee to the cash desk in your store and hand you some money, which you accept.

•  I make a promise to a religious order to enter it and become a member of it, and I later become a member of that order

Sarah promised her mother that she would commit herself to the Jewish faith once she turned 21 years old. Is this an enforceable contract?

• No, because Sarah cannot promise anything unless it is in writing

• No, because this is considered to be a moral vow and moral vows are not legally enforceable.

• a person suffering from advanced Yes, because there was a meeting of the minds between Sarah and her mother disease

• Yes, because 21 is the legal age to contract and Sarah would be bound at that time

   

Rita offered her car to Rucan for $500. Rucan was excited about the offer and replied that he would gladly accept the car for $475 and walked off, not waiting for a response. The following day, Rucan decided he did not want to buy the car. When he told Rita this, she replied that he is bound by the contract and must pay the outstanding balance. In this situation:

• a contract has been formed because Rucan accepted Rita's offer

• there was no contract formed for $500 because Rucan made a counteroffer

• there was no contract formed because Rita did not have Rucan's acceptance in writing

• there was no contract formed because Rita did not have Rucan's acceptance in writing

Which of the following is an example of an enforceable contract?

• Two competitors agree on the price they will charge to the public for goods they both sell.

• Avram agrees not to report a theft by Bertil, if Bertil repays what he has stolen.

• A plumber who is unlicensed sues for the price of goods supplied where he is supplying goods and plumbing services.

• Morris agrees to lend Miguel money at 120 percent interest per annum.

Harrison and Benedek have been negotiating over the sale of a powerboat. There have been lengthy negotiations by email, and a price is agreed to of US$14,000. The printed contract records the price, in error, in Canadian dollars.

• No remedy is available—the deal is in Canadian dollars because that is what the contract says.

• Evidence of the intended price can be introduced using the emails to rectify the error in the contract.

• As the parties have not reached agreement on price, there is no contract

• None of the above.