Questions:
1. What are the four elements of a valid contract?
2. Describe the objective theory of contracts. How does that theory apply to this case?
3. Why do you think the court held that there was not a valid agreement here?
4. Are advertisements generally considered offers? Why or Why not?
5. How does this case differ from a reward situation, where a unilateral contract is formed
upon completion of the requested act?
Assignment Name : Unit 3 Discussion Board
1. What will be the long-term impact of electronic contracting on the nations business?
2. What are the potential pitfalls you see with electronic contracting?
Assignment Name: Unit 4 Discussion Board
1. Is the International Court of Justice the first world court?
2. What are the procedures of the World Court? Are they similar to any US Court?
3. What is an advisory opinion?
Assignment BUS255-0604B-13 Fundamentals of Business Law
1. Before the UCC and the UCITA, what was one of the first, and most significant, of the
U.S. governments attempts to promote uniformity in commercial laws from state to state?
(Hint: think of “commerce” and Constitution).
2. Based on the information presented above, what do you see as the major differences
between Article 2 of the Uniform Commercial Code and UCITA?
3. What is the legal distinction between selling a product and licensing it?
4. Many of the provisions in the UCITA were first proposed as a modification to Article 2
of the UCC. Why do you think the drafters decided to propose it as a separate and distinct
uniform act?
Answers:
1. What are the four elements of a valid contract?
A contract is an “agreement between parties, with terms and conditions that describe the
agreement that constitutes a legal obligation” (All Business). A valid contract requires four
elements and these are:
a. Mutual agreement there must be a meeting of the minds between parties. There should
be an offer and an acceptance. There should be an agreement to enter into the contract
b. Consideration – meaning that “every party is conferring a benefit on the other party or
himself sustaining a recognizable detriment, such as a reduction of the partys alternative
courses of action where the party would otherwise be free to act with respect to the subject
matter without any limitation” (Wikipedia). This simply means that there should be
something given and something received.
c. Legality – The good or service being exchanged must be legal
d. Capacity both parties should be legally competent to enter into the agreement.
2. Describe the objective theory of contracts. How does that theory apply to this case?
