LSB 3213 1st Edition Lecture 10 Current LectureToday:- Discuss Exams 1 and 2- Begin Contracts sectionRecap Exam 1:- Nice work!- Average scoreso 80% after curve, higher than the other course- Highest scores, curveo Highest: 106%o Curve: 1 question- 3 pointsPreview of Exam 2:- Will be over just contracts- the longest section o Will be a more concentrated exam, just on contracts- Study guide in advance like exam 1- Same exam formatSyllabus Changes:- Both quizzes cancelledo Would have been only five questions and not worth the extra effort of studying for a short quiz before the exam- There will be a couple more extra credit questions on Exams 2 and 3 to make up for the lack of quizzes- Possible extra credit challenge assignment at end- Guest speaker from Innovation to Enterprise on 3/26 at 2:00 pm in ES 317Current Events:- Immigration lawso Presidential Executive Order to allow illegal immigrants into the country and states will have to provide documentation for themo 26 states sued Started in the Federal District Court in Texas, appealed to 5th Circuit Court in New Orleans, LAThese notes represent a detailed interpretation of the professor’s lecture. GradeBuddy is best used as a supplement to your own notes, not as a substitute. Sued for an injunction-stop enforcing the executive order - Issued a preliminary injunction because it would cause “irresponsible harm” Stopped the operation of the law- Warrants to inspect businesseso City in Florida’s sheriff’s office planned an armed raid on numerous locations, arresting people on the spot at barber shops that did not have barbers/business licenses Arrested barbers sued and went to Federal District and Circuit Court (for Due Process and Search and Seizure violation) Police claim that it was a routine administrative inspection, the court says no, it is not a routine inspection when using a raid, also proved to be a Due Process violationContractsWhy Study contracts?- Practical reasonso Contracts are everywhere, the backbone of how businesses run - Philosophical reasonso Most things in law relate to some philosophical reasonContract Law answers the following questions- What kind of promises/contracts are protected by law?- What if you change your mind?- If you do fail to keep your word, how do you compensate/pay for thatWhat is a contract?- A promise carrying an enforceable legal duty with an enforceable legal remedy for breachContract Scenarios- Jack and Jill negotiate for tickets to OSU/OU football game- Four components of a contractScenario 1:- Jack pays $200. Deal! Jack will bring Jill the money for the tickets tomorrow, Jill does not say yes or no- Contract component 1: AGREEMENT from both sides- doesn’t have to be in writingScenario 2:- Jill says have the tickets, I’m going to the beach anyways. Jack says great, takes the deal and doesn’t pay for anythingo This would be considered a gift, and gifts are not considered a contract- If Jill had instead said if you buy my $2 coffee, I will give you the tickets that are worth $100o Because Jill put a value on it, the exchange is not considered a gift- Contract component 2: CONSIDERATION (“Skin in the game”)Scenario 3:- Jack and Jill meet at a restaurant to discuss the deal over dinner. After a long dinner withlots of wine, Jack pays $1,000 for the tickets and Jill writes the deal on a napkin and bothof them sign it.o Jack then decides not to take the deal and Jill sues him and presents the napkin with the signed agreement Jill loseso Jack was incapacitated and Jill KNEW that he was incapacitated- Contract Component 3: CAPACITYScenario 4:- Jack pays agrees to pay $100 for the tickets. Jill then says that she is having car problems and needs to get her car fixed. She tells Jack that she has an insurance policy that means that if someone just randomly came and destroyed her car, they would pay to replace it- So, Jack goes to Jill’s house and destroys her car and brings $100 to Jill the next day for the tickets, but she decides to not take the dealo Jack sues Jill and wins- Contract Component 4: LEGALITYo Has to be based on a legal activity, this was not legalThings that will carry over from Exam 1 to Exam 2:- Four schools of legal thoughto Natural Lawo Legal Realismo Historical Approacho Positive Law- Common lawo Contract law is largely common lawo Different than subject of LSB 4323: Law of Commercial Transactions (Uniform Commercial Code, UCC)o Judge-made law, stare decisis, precedentSchedule- Thursday: finish Chapter 11- Next week: Chapters 12 and