Chapter 10 Vocab. -Intro to Contracts-

  1. Quantum Meruit
    “As much as she deserves.” The damages awarded in a quasi-contract case.
  2. Bilateral Contract
    A binding agreement in which each party has made a promise to the other.
  3. Capacity
    The legal ability to enter into a contract.
  4. Contract
    A legally enforceable promise or set of promises.
  5. Executed Contract
    A binding agreement in which all parties have fulfilled all obligations.
  6. Executory Contract
    A binding agreement in which one or more of the parties has not fulfilled its obligations.
  7. Express Contract
    A binding agreement in which the parties explicitly state all important terms.
  8. Implied Contract
    A binding agreement created not by explicit language but by the informal words and conduct of the parties.
  9. Judicial Activism
    The willingness shown by certain courts (and not by others) to decide issues of public policy, such as constitutional questions (free speech, equal protection, etc.) and matters of contract fairness (promissory estoppel, unconscionability, etc.).
  10. Judicial Restraint
    A court’s preference to abstain from adjudicating major social issues and to leave such matters to legislatures
  11. Noncompetition Agreement
    A contract in which one party agrees not to compete with another in a stated type of business.
  12. Promissory Estoppel
    A doctrine in which a court may enforce a promise made by the defendant even when there is no contract, if the defendant knew that the plaintiff was likely to rely on the promise, the plaintiff did in fact rely, and enforcement of it is the only way to avoid injustice.
  13. Quasi-Contract
    A legal fiction in which, to avoid injustice, the court awards damages as if a contract had existed, although one did not.
  14. Unilateral Contract
    A binding agreement in which one party has made an offer that the other can accept only by action, not words.
  15. Void Agreement
    An agreement that neither party may legally enforce, usually because the purpose of the bargain was illegal or because one of the parties lacked capacity to make it.
  16. Voidable Contract
    An agreement that, because of some defect, may be terminated by one party, such as a minor, but not by both parties.
Card Set
Chapter 10 Vocab. -Intro to Contracts-
Business Law and the Legal Environment 5th Ed. By:Jeffrey F. Beatty, Susan S. Samuelson ISBN-10: 0324663528