The Statute of Frauds Self-Quiz
George and Lenny make an
oral contract with Curley to buy five acres of farm land from Curley for
$150,000. When George and Lenny bring the money to Curley, Curley refuses
to convey title to them. George and Lenny sue Curley for breach of contract.
George and Lenny will win:
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George and Lenny make an
oral contract with Curley to buy five acres of farm land from Curley for
$150,000. Before George and Lenny pay Curley and get title to the land,
they build a corral for the cows they are going to keep, put up several
rabbit hutches and chicken coops, build a grain silo and dig an irrigation
ditch. When George and Lenny bring the money to Curley, Curley refuses
to convey title to them. George and Lenny sue Curley for breach of contract.
George and Lenny will win:
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Ben and Jerry make an oral
contract with Moo Juice under which Moo Juice will sell Ben and Jerry
10,000 gallons of milk for $1 per gallon on May 1st. On April 30th Moo
Juice calls Ben and Jerry and tells them that they have sold their milk
to Eddie who is buying it for $1.50 per gallon and that there is no more
milk left to sell to Ben and Jerry. Ben and Jerry sue Moo Juice for breach
of contract. Ben and Jerry will win:
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Ben and Jerry make an oral
contract with
Moo Juice under which Moo Juice will sell Ben and Jerry 10,000 gallons
of milk per month for two years for $1 per gallon. Moo Juice delivers,
and Ben and Jerry accept, the first shipment of milk. However, after accepting
the shipment, Ben and Jerry try to get out of paying for the milk by arguing
that the contract was unenforceable because it violated the statute of
frauds. Moo Juice sues Ben and Jerry for breach of contract. Moo Juice
will probably:
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Ben and Jerry make an oral
contract with
Moo Juice under which Moo Juice will sell Ben and Jerry 500 gallons of
specially produced chocolate milk that is made of very finely ground Mayan
coco beans and contains added milk fat and vitamin D. Ben and Jerry are
going to use the milk in a new ice cream recipe that they are experimenting
with and they specially order this milk, which they agree to pay $10 per
gallon for. Moo Juice orders the coco beans and begins the slow process
of adding the extra milk fat and homogenizing the milk when Ben and Jerry
call and inform Moo Juice that they will not be buying the milk. No one
else has any use for the milk. Moo Juice sues Ben and Jerry for breach
of contract. Moo Juice will probably:
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College Painters, Inc. is
a house painting company staffed and run by college students from Boston
College. The company has just entered an oral contract with Howard, a
private homeowner, to paint his house. The contract states that the company
will paint the house white with blue trim, Howard will pay the company
$10,000 for the job and, for an extra $500, the company will sell Howard
the paint brushes and left-over paint from the job. One day before the
work is supposed to begin, the company calls Howard to tell him that they
have accepted an offer to paint a house for $15,000 so they will not be
painting his house. Howard immediately sues the company. The company will
probably:
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Mrs. Taylor’s daughter,
Elizabeth has just become engaged to Richard. Elizabeth has been engaged
several times before but had always gotten cold feet before the wedding
so she has never been married. Mrs. Taylor is afraid that Elizabeth will
not go through with this wedding either so, to give her daughter some
incentive, she promises to give Elizabeth $25,000 and a new car if she
actually marries Richard. Much to Mrs. Taylor’s surprise, Elizabeth
goes through with the wedding. Much to Elizabeth’s surprise, her
mother refuses to give her the money and the car. If Elizabeth sues her
mother, she will probably:
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Dire Straits is about to
go on a world tour to promote their album “Brothers in Arms”.
The concert is supposed to begin on May 1st, 2002 at Wembly Stadium in
London and conclude on July 5th, 2003 in Boston, Massachusetts. The tour
has one hundred scheduled tour dates. Unfortunately, the band only has
ninety-nine sheets of paper on which to draw up contracts. On February
1st, 2002, the band draws up ninety-nine identical contracts and sends
them to the promoters of the first ninety-nine concerts. However, the
band contacts the Boston promoter by phone and orally comes to terms with
him on the contractual details of the show. Mark, one of the band members,
and his wife have their first child on July 5th, 2002. Because Mark wants
to be home for his baby’s first birthday, the band decides to cancel
the last show in Boston. The Boston promoter, who has already leased out
a venue and begun advertising for the concert, sues the band for breach
of contract. He will win his suit:
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Coach J has just led his
Bristol University Bears to their third national basketball championship
in five years. Two days after the championship game, the University rewards
Coach J with a lifetime contract. The coach and the university come to
an oral agreement as to the contract terms and Coach J then leaves on
a three week recruiting trip. At the beginning of the next season, the
Bristol Bears begin by losing seven of their first ten games and the University
begins to think that giving Coach J a lifetime contract was not such a
good idea. When the team loses the next two games in a row, the University
decides that a change of coaches would get the team back on track and
they fire Coach J. Coach J sues the University for breach of contract.
The University argues that the contract was not enforceable because it
was oral. The university will win this case:
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Dire Straits is about to
go on a world tour to promote their album “Brothers in Arms”.
The concert is supposed to begin on May 1st, 2002 at Wembly Stadium in
London and conclude on July 5th, 2003 in Boston, Massachusetts. The tour
has one hundred scheduled tour dates. Unfortunately, the band only has
ninety-nine sheets of paper on which to draw up contracts. On February
1st, 2002, the band draws up ninety-nine identical contracts and sends
them to the promoters of the first ninety-nine concerts. However, the
band contacts the Boston promoter by phone and orally comes to terms with
him on the contractual details of the show. The last day of the tour comes
around and the band delivers the performance of a lifetime to their fans
in Boston. However, after the show, the promoter refuses to pay the band,
arguing that the contract was oral and, therefore, unenforceable. The
band sues the promoter for breach of contract. The band will win this
suit:
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Ben and Jerry have just purchased
two acres of land in Vermont and would like to build an ice cream manufacturing
plant. Ben and Jerry apply for a $2 million loan to finance the building
of the plant and other start up costs. Since Ben and Jerry have no prior
business experience and no assets, they are afraid that they might not
get the loan. Eddie is a good friend of Ben and Jerry’s and he promises
the bank that he will repay the loan if Ben and Jerry default. Eddie is
one of the wealthiest men in Vermont and, on the strength of his promise,
the bank lends Ben and Jerry the money. Unfortunately, business does not
go very well and Ben and Jerry are unable to repay the loan. When the
bank contacts Eddie and requests that Eddie repay the loan, Eddie refuses.
If the bank sues Eddie, they will win:
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Ben and Jerry have just
purchased two acres of land in Vermont and would like to build an ice
cream manufacturing plant. Ben and Jerry apply for a $2 million loan to
finance the building of the plant and other start up costs. Since Ben
and Jerry have no prior business experience and no assets, they are afraid
that they might not get the loan. Moo Juice is a dairy farm in the area
and Ben and Jerry have signed a contract with Moo Juice, under which,
Ben and Jerry will buy all of the milk and cream that they need from Moo
Juice. This contract could be worth a lot of money to Moo Juice if Ben
and Jerry succeed so they promise the bank that they will repay the loan
if Ben and Jerry default. On the strength of this promise, the bank lends
Ben and Jerry the money. Unfortunately, Business does not go very well
and Ben and Jerry are unable to repay the loan. When the bank contacts
Moo Juice and requests that they repay the loan, they refuse. If the bank
sues Moo Juice, they will win:
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