bus management

  1. For a contract to be legally binding there must be
    • a. offer
    • b. acceptance
    • c. consideration
    • A promise may not be legally binding
  2. The Objective Theory of Contracts
    a partys intention to enter into a legally binding agreement, or contract, is judged by outward. Facts include 1) what the party said when entering into the contract 2) how the party acted or appeared 3) the circumstances surrounding the transaction
  3. Requirements of a Valid Contract
    • 1) Agreement
    • 2) consideration
    • 3) Contractual capacity
    • 4) Legality
  4. These are not offers
    expressions of opinions, preliminary negotiations, agreements to agree a later day, advertisements
  5. Requirements for an offer
    1) Identity of the parties 2) identity of the object or subject matter of the contract 3) consideration 4) time of payment or delivery
  6. What are the 5 Validity of Contracts
    Executed, Executory, Void, Voidable, Unenforceable
  7. Executed Contract
    a contract that has been completely performed by both parties
  8. Executory Contract
    not yet fully performed
  9. Void contract
    contact itself has no legal force (illegal purpose, underage)
  10. Voidable Contract
    otherwise valid contract thay MAY be legally avoided, canceled or annulled at the option of one of the parties
  11. Unenforceable contract
    valid contract rendered unenforceably by some statute or law
  12. Unilateral Contract vs Bilateral
    • Unilateral = offer may only be accepted by offeree's performance ("I will give you $15 after you mow my lawn)
    • Bilateral = promise for a promise ("I will deliver my car to you and you promise to pay me $15)
  13. Express Contract vs Implied-in-fact contract
    • Express = the terms are fully and explicitly agreed upon (orally or in witing)
    • Implied-in-fact = contract formed in part or in whole by conduct of the parties
  14. Complete vs Substantial Performance
    • Complete = when a party performs exactly as agreed, there is no question as to whether the contract has been performed
    • Subtantial = a party who in good faith performs subtantially all of the terms of a contract
  15. Contract may be discharged by agreement name the three ways
    • Rescission: parties agree to cancel
    • Novation: substituting new contract for ald (all parties must agree)
    • Accord and Satisfaction: agreement between the parties to accept different performance than originally promised
  16. Objective Impossibility vs Subjective impossibility
    • Objective: "it cant be done"
    • Subjective: "I'm sorry, I simply cant do it"
  17. Monetary Damages for Breach of Contract
    • Compensatory damages: injuries or losses actually sustained
    • Consequential damages: reasonably foreseeable indirect damages
    • Punitive damages: designed to punish--usually only recoverable in contract law if there is a tort claim
    • Nominal damages: damages awarded only when technical breach occurred and there are no actual damages
  18. Exculpatory Clauses
    Provisions stating that no damages can be recovered
  19. What are Goods
    an item of property must be tangible and it must be movable
  20. What is Puffery
    an expression of opinion by a seller or lessor that is not made as a representation of fact
  21. Implied Warrranty
    the law derives by inference from the nature of the transaction or the relative situation or circumstances of the parties. "THERE ARE NO WARRANTIES THAT EXTEND BEYOND THE DESCRIPTION ON TEH FACE HERE OF"
  22. Intentional Torts
    • Assault: intentional act creating reasonable apprehension of harmful or offensive contact
    • Battery: intentional and harmful or offensive contact
    • False imprisonment: intentional confinement of another without justification
    • Infliction of Emotional Distress: act that is extreme and outrageous and causes severe emotional distress to another.
  23. Defenses to Intentional Torts
    • a) consent to acts that cause damage
    • b) self-defense
    • c) defense of property
    • d) defense or assistance of others
    • e) necessity
  24. Types of Defamation
    • Libel: written
    • Slander: spoken
  25. Product Liability
    a manufacturer's, seller's, or lessor's liability to consumers, users, and by standers for physical harm or property damage that is caused by the goods.
  26. Negligence of the manufacturer include
    • - design of product
    • - selection of materials
    • - production process
    • - assembly and testing
    • - adequate warnings
  27. Strict Liability
    liable regardless of intent or the exercise of reasonable care
  28. Strict Liability must show (classsic case is Ford Motor Co. and "exploding" Pinto)
    • a) product defective when defendant sells it
    • b) defendant in normal business of selling such product
    • c) product is unreasonably dangerous because of defective condition
    • d) palintiff suffers physical harm to self or property
    • e) harm proximately caused by defective condition
    • f) product not substantially changed between time sold and time of injury
  29. Agency may be formed by
    • a) agreement (express or implied)
    • b) ratification
    • c) estoppel
    • d) operation of law (family relationships, emergency situations)
  30. Agents Duty to Principal
    • a) performance (reasonable diligence and skill)
    • b) notification (keep principal informed)
    • c) loyalty (agent must act solely for the benefit of princpal and all is confidential)
    • d) obedience (agent must follow instructions from principal)
    • e) accounting (agent must accunt for all mony)
  31. Principal's Duty to Agent
    • a) compensation
    • b) reimbursement
    • c) indemnification
    • d) cooperation
    • e) safe working conditions
  32. Liability of Agent's Torts
    • a) principal's own bad conduct
    • b) bad conduct authorized by principal
    • c) bad conduct committed within the scope of the agent's duties
  33. Factors of Respondeat Superior
    • a) was the act authrized by principal
    • b) time, place, and purpose of act
    • c) was act commonly performed by agents for principals
    • d) was principal's interest advanced
    • e) were agent's interest involved
    • f) whether principal furnished means or methods of tort act
    • g) whether act involved serious crime
Card Set
bus management