Contracts • Definition: a legally enforceable agreemento If someone doesn’t honor their agreement, you can go to court and seek a remedy. o You can sue themo Sue over a “breach”o You can get money, like an injunction o Deals with the civil law • The larger sphere is the agreements we recognize o The smaller one represents contractso “Ks” means contractso They are a subset of the large inquiry, why don’t all agreements become legal issues. o Illegal agreements—agreements that violate the law, you cant sue someone if they don’t follow through with the law. Gambling Hiring a hit man• Student was cheating and didn’t want the law school to find out even though a head person knew, she hired a hit man, but it never went through. Anti-trust violationso Unclean hands doctrine Imagery for coming into court with something wrong You aren’t going to get the remedy if you have dirty handso Social agreements Your friend has 2 tickets for the FSU game and your friend never showed up. However, you sue your friend in court because she backed out of the agreement.• This was a social agreement, work it out by yourselves they aren’t going to get involved in a social agreement. • If we had social agreement problems in our courts we would have an avalanche of problems. • There are exceptions: a couple was going to the senior prom and a boy asked his date to the prom, she went out and bought a dress and got her hair done, but he never showed up.o She sued in broward country small claims court for the expenses of the case. The judge should have dismissed the case, however this is grey: is this social or is this business. Statue: pre-nuptial and post-nuptial contracts • People want to enter into a legally binding contract before they enter into marriage. • Pre-before; post-after (marriage)• Pre-nup must be in writing (formal), signed, and in the presence of 2 subscribing witnesses and the persons who are giving up the rights.o Business interesto Kidso Incapacitated in lifeo This is important for blended families where a wife has children from her first marriage, etc.o Example: before Kate and Will got married, there were questions regarding getting a pre-nup.• Essentials of a contracto Agreement- manifestation of mutual assent Manifestation is a showing, you each agree to this arrangement • You do this through words or a contract• You can also do this through conduct, you act a certain way. When we make agreements we do it through this: the objective theory of contracts, a meeting of the minds.• Meeting of the minds: agree to the same thing at the same time• Objective basis as opposed to a subjective basis.• Example: the seller wants to sell his horse to the buyer, in the letter it says I will offer to sell you my horse for 2200$. The buyer thinks it’s a fair price and sends a check and a letter back saying he agrees to this price. The seller said you sent the wrong amount it is really 2500$ I must have typed the wrong button. There is no contract if there is not a meeting of the mind.o We can only go what is objectively shown, he should’ve proofread his letter. We can’t go based off the mind of the seller; it is through the objective the words, written right on the paper.o Imagine if we did the subjective theory: we would have absolute chaos. If you thought one thing, but meant another.o The seller would be required to sell it for $2200 since that is what the agreement is.o Obligation- legal duty• Other duty: moral or ethical duty, which is like a social agreement. You should keep your word, but the law doesn’t make sure you keep your word in social agreements.• Types of contractso Express- agreement manifested in words (oral or written) When you sign your lease to your apartment It has been indicated in words, written contract is better since oral can have disagreements.o Implied- agreement manifested by conduct (e.g. dental appointment) When your dentist fills a cavity and it costs $500 It’s not really talked about, why else would you show up for an appointment to get your cavity filled if you didn’t want it. You get a letter in the mail a few days later with your bill and the dentist office says sorry you never asked the fee of the tooth. Come to court with a legal rule: an implied contract, all the terms of the contract are impliedly reasonable.• You can come to the court with examples of other dentist fees that are less. • Reasonable: fair market value for filling a cavity when you go to the dentist. You got a soda from the store for $1.06, you took the coke and put the money on the counter, the cashier never asked if you wanted to buy the drink it is understood. You don’t have to say one word for it to be a contract.o Unilateral- promise for an act Uni and bi is referring to promises I promise to do something for you if you do something for me.• Ill give money to whoever finds my dog. You have to find the dog in order to get the money. Once you find my dog I will give you the money.• The promise by the owner of the house to pay the real estate sales person of 6% if you sell my house. If you don’t make the sale you don’t get the money.o Bilateral- promise for a promise Buying and selling a boat Ill do this for you if you promise to do this for me.o Executory- not yet performed These are definitions We haven’t started the contract yet I will pay you $1000 if you do work from December 1- December 31st. In the futureo Executed- completely performed These are definitions On January 1st when you have finished the task we have this.• Elements of a valid contracto Mutual assent (offer and acceptance) Agreemento Consideration The bargain for exchange Ill give you this if you give me that Two way streeto Capacity- any one of these 1.Old enough• In most states you have to be at least 18 to make a binding contract 2.Sane enough• If you are not sane enough to enter into a contract 3.Sober enough• If you are not sober enough to enter into a contracto Legality Contract must be legal or the court wont recognize it• Offer: Essential elementso A. Promise to render a stated performance in return for the requested counter performance 1. Promissory language requirement• Intend to enter into a contract, not being wishy-washy.• 1. I promise to buy…• 2. I will buy…• 3. I hereby undertake the obligation
View Full Document
Unlocking...