Unlock document.
This document is partially blurred.
Unlock all pages and 1 million more documents.
Get Access
STUDENT _______________________________________ CLASS _______________________ DATE _________
LESSONȱ7—1ȱQUIZ
LegalȱConceptsȱ
Directions:ȱFillȱinȱtheȱblank(s)ȱwithȱtheȱmostȱappropriateȱtermȱorȱphraseȱtoȱcompleteȱ
theȱsentence.ȱ
ȱAnswersȱ
1.ȱIfȱoneȱpartyȱusesȱphysicalȱthreatsȱtoȱobtainȱ
anotherȱparty’sȱsignature,ȱthereȱisȱnoȱȱȱȱȱȱȱȱ?ȱȱȱȱȱȱȱȱȱ
agreementȱbetweenȱthem.ȱ
1._______________________ȱ
2.ȱIfȱthereȱisȱnoȱgenuineȱassent,ȱtheȱapparentȱ
contractȱisȱȱȱȱȱȱȱȱ?ȱȱȱȱȱȱȱ.ȱ
2._______________________ȱ
3.ȱA(n)ȱȱȱȱȱȱȱȱ?ȱȱȱȱȱȱȱȱoccursȱwhenȱoneȱpartyȱbacksȱoutȱ
ofȱaȱtransactionȱbyȱaskingȱforȱtheȱreturnȱofȱ
whatȱtheyȱgaveȱandȱofferingȱtoȱgiveȱbackȱwhatȱ
theyȱhaveȱreceived.ȱ
3._______________________ȱ
4.ȱInȱa(n)ȱ ȱȱȱȱȱȱȱ?ȱ ȱȱȱȱȱȱȱrelationship,ȱanȱinordinateȱ
amountȱofȱtrustȱandȱconfidenceȱisȱplacedȱbyȱaȱ
dependentȱpartyȱinȱtheȱdominantȱparty.ȱ
4._______________________ȱ
5.ȱDuressȱoccursȱwhenȱoneȱpartyȱusesȱa(n)ȱ ȱȱȱȱȱȱ
ȱȱȱȱȱȱȱ?ȱ ȱȱȱȱȱȱȱȱorȱ ȱȱȱȱȱȱȱ?ȱ ȱȱȱȱȱȱȱtoȱobtainȱanȱexpressionȱ
ofȱagreement.ȱ
5._______________________ȱ
6.ȱWhenȱoneȱpartyȱtoȱaȱcontractȱisȱinȱaȱpositionȱofȱ
trustȱandȱwrongfullyȱdominatesȱtheȱotherȱ
party,ȱȱȱȱȱȱȱȱ?ȱȱȱȱȱȱȱȱoccurs.ȱ
6._______________________ȱ
7.ȱTheȱthreatȱtoȱengageȱinȱillegalȱconductȱtoȱwinȱ
agreementȱisȱalwaysȱconsideredȱȱȱȱȱȱȱȱ?ȱȱȱȱȱȱȱ.ȱ
7._______________________ȱ
8.ȱTheȱtwoȱkeyȱelementsȱinȱundueȱinfluenceȱareȱ
theȱrelationshipȱandȱtheȱwrongfulȱorȱunfairȱ
ȱȱȱȱȱȱȱ?ȱȱȱȱȱȱȱ.ȱ
8._______________________ȱ
9.ȱDuressȱcanȱoccurȱwhenȱtheȱthreatȱtoȱȱȱȱȱȱȱȱ?ȱȱȱȱȱȱȱȱisȱ
reallyȱmadeȱforȱaȱpurposeȱunrelatedȱtoȱtheȱsuit.ȱ
9._______________________ȱ
Chapter 7 Genuineness of Assent
2-22
Chapter 7 Genuineness of Assent 2-23
LegalȱApplicationsȱ
10.ȱMrs.ȱSwansonȱisȱanȱelderlyȱladyȱwhoȱhasȱtwoȱdaughters,ȱChariseȱandȱCassie.ȱ
Mrs.ȱSwansonȱisȱnoȱlongerȱableȱtoȱliveȱaloneȱandȱcareȱforȱherself.ȱChariseȱisȱ
willingȱtoȱstayȱwithȱherȱmotherȱifȱsheȱwillȱchangeȱherȱwillȱtoȱmakeȱChariseȱtheȱ
soleȱheirȱtoȱherȱestate.ȱCassieȱisȱagreeableȱtoȱCharise’sȱplan.ȱWhatȱadviceȱwouldȱ
youȱgiveȱthisȱfamilyȱtoȱpreventȱaȱcaseȱofȱundueȱinfluence?ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
11.ȱJackȱandȱMaxȱbothȱworkedȱinȱaȱlargeȱelectronicsȱstore.ȱJackȱfoundȱoutȱthatȱMaxȱ
wasȱstealingȱsmallȱelectronicsȱfromȱtheȱstoreȱandȱsellingȱthemȱatȱaȱdiscountȱrateȱ
toȱhisȱfriends.ȱJackȱapproachesȱMaxȱandȱthreatensȱtoȱgoȱtoȱtheȱpoliceȱunlessȱMaxȱ
cutsȱhimȱinȱonȱtheȱprofitsȱthatȱMaxȱisȱmaking.ȱMaxȱagrees,ȱbutȱafterȱtwoȱmonthsȱ
ofȱcooperatingȱwithȱJack,ȱMaxȱrefusesȱtoȱpayȱJackȱanyȱmoreȱmoney.ȱJackȱ
threatensȱtoȱsueȱMaxȱforȱrenegingȱonȱtheirȱcontract.ȱDoesȱMaxȱhaveȱaȱdefense?ȱ
Explain.ȱȱ
STUDENT _______________________________________ CLASS _______________________ DATE _________
LESSONȱ7—1ȱPRACTICEȱACTIVITY
Readȱtheȱfollowingȱcasesȱandȱanswerȱtheȱquestionsȱaboutȱthem.ȱAttachȱaȱpageȱforȱyourȱ
answers.ȱ
ȱ
1.ȱTotemȱMarine,ȱaȱtransportȱcompany,ȱenteredȱintoȱaȱcontractȱtoȱtransportȱ
monthsȱlater,ȱhowever,ȱTotemȱsuedȱAlyeskaȱallegingȱthatȱitȱwasȱforcedȱtoȱsignȱ
theȱreleaseȱunderȱeconomicȱduress.ȱWillȱTotemȱbeȱsuccessfulȱinȱsuingȱAlyeskaȱ
forȱtheȱrestȱofȱitsȱmoney?ȱExplain.ȱ[TotemȱMarineȱT&ȱBȱv.ȱAlyeskaȱPipeline,ȱ584ȱP.ȱ
ȱ
2.ȱJamesȱCurlȱdiedȱleavingȱfourȱchildren,ȱagesȱ16,ȱ17,ȱ18,ȱandȱ21ȱyearsȱold.ȱAtȱtheȱ
timeȱofȱhisȱdeath,ȱtheȱchildrenȱbecameȱcloseȱtoȱaȱfamilyȱfriendȱknownȱasȱ“Uncleȱ
Jack,”ȱwhoȱofferedȱtoȱhelpȱthemȱwithȱtheȱmaintenanceȱofȱtheȱhouse.ȱHeȱalsoȱ
undueȱinfluence.ȱUncleȱJackȱclaimedȱthatȱtheȱpropertyȱwasȱtransferredȱtoȱhimȱ
becauseȱheȱfellȱandȱwasȱinjuredȱwhileȱonȱtheȱpropertyȱandȱthatȱtheȱtransferȱwasȱ
inȱsettlementȱofȱhisȱclaim.ȱTheȱchildrenȱsayȱthatȱwhenȱtheyȱsignedȱtheȱpaper,ȱitȱ
wasȱblankȱwithȱsixȱlinesȱonȱit.ȱWillȱtheȱcourtȱpermitȱUncleȱJackȱtoȱtakeȱtheȱ
children’sȱproperty?ȱExplain.ȱ[CurlȱbyȱandȱthroughȱCurlȱv.ȱKey,ȱ316ȱS.E.ȱ2dȱ272ȱ
Chapter 7 Genuineness of Assent
2-24
STUDENT _______________________________________ CLASS _______________________ DATE _________
LESSONȱ7—1ȱRETEACHȱ
Directions:ȱWriteȱtheȱnumbersȱ1–20ȱonȱindexȱcardsȱinȱlargeȱprint.ȱOnȱtheȱotherȱsideȱ
ofȱtheȱcard,ȱwriteȱtheȱdefinitionȱorȱtermȱthatȱisȱshownȱbyȱeachȱnumberȱbelow.ȱTapeȱ
theȱcardsȱtoȱaȱchalkboardȱinȱtheȱpatternȱbelowȱwithȱtheȱnumbersȱfacingȱtheȱstudents.ȱ
Divideȱtheȱstudentsȱintoȱfourȱorȱfiveȱteams.ȱEachȱteamȱshouldȱchooseȱaȱcaptainȱtoȱ
answerȱforȱthem.ȱTheȱteamȱcaptainȱwillȱchooseȱanyȱtwoȱnumbers.ȱReadȱtheȱcontentsȱ
onȱtheȱbackȱofȱtheȱcardsȱoutȱloud.ȱIfȱtheȱtwoȱchosenȱcardsȱformȱaȱcorrectȱmatchȱofȱaȱ
termȱandȱitsȱdefinition,ȱtheyȱareȱremovedȱfromȱtheȱchalkboardȱandȱthatȱteamȱscoresȱ
aȱpoint.ȱIfȱtheȱcardsȱdoȱnotȱmakeȱaȱcorrectȱmatch,ȱtheȱnextȱteamȱmayȱtakeȱaȱturn.ȱ
Note:ȱDoȱnotȱallowȱtheȱstudentsȱtoȱhaveȱanythingȱtoȱwriteȱwithȱduringȱtheȱgame.ȱ
Cardȱ1ȱ
rescindȱ
Cardȱ2ȱ
Usingȱaȱpositionȱ
ofȱtrustȱtoȱ
dominateȱanotherȱ
partyȱ
Cardȱ3ȱ
Anȱagreementȱ
whereȱnoȱthreatȱisȱ
madeȱ
Cardȱ4ȱ
ratificationȱ
Cardȱ5ȱ
Aȱkeyȱelementȱinȱ
undueȱinfluenceȱ
Cardȱ6ȱ
Aȱthreatȱtoȱengageȱ
inȱillegalȱconductȱ
Cardȱ7ȱ
voidableȱ
Cardȱ8ȱ
unfairȱpersuasionȱ
byȱaȱcontractȱ
Chapter 7 Genuineness of Assent 2-25
STUDENT _______________________________________ CLASS _______________________ DATE _________
LESSONȱ7—1ȱENRICHMENTȱ
Youȱlearnedȱinȱtheȱlessonȱthatȱundueȱinfluenceȱoccursȱwhenȱtheȱdominatingȱpartyȱtoȱ
aȱconfidentialȱrelationshipȱexertsȱirresistibleȱpressureȱonȱtheȱdominatedȱpartyȱtoȱ
enterȱintoȱaȱcontractȱthatȱbenefitsȱtheȱformer.ȱNewsȱreportsȱoftenȱseemȱlikeȱtheyȱareȱ
fullȱofȱstoriesȱwhereȱthisȱtypeȱofȱcaseȱoccurs—anȱattorneyȱorȱfinancialȱadvisorȱbilksȱaȱ
clientȱoutȱofȱaȱlifeȱsavings,ȱanȱagentȱorȱparentȱmisusesȱtheȱfundsȱofȱaȱminorȬageȱ
entertainerȱchild,ȱaȱcaregiverȱconvincesȱanȱelderlyȱandȱpossiblyȱsenileȱpatientȱtoȱsignȱ
overȱstocksȱorȱdeeds.ȱFindȱsuchȱaȱcaseȱbyȱreadingȱmagazine,ȱnewspaper,ȱorȱInternetȱ
articlesȱandȱanswerȱtheȱfollowingȱquestions.ȱ
ȱ
1.ȱWhatȱwasȱtheȱrelationshipȱbetweenȱtheȱpartiesȱtoȱtheȱcontract?ȱ
ȱ
ȱ
ȱ
ȱ
2.ȱWhatȱwasȱtheȱevidenceȱofȱunfairȱpersuasionȱbeingȱclaimedȱbyȱtheȱweakerȱparty?ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
3.ȱWasȱtheȱcontractȱprovenȱtoȱbeȱfair?ȱWhyȱorȱwhyȱnot?ȱ
Chapter 7 Genuineness of Assent
2-26
STUDENT _______________________________________ CLASS _______________________ DATE _________
LESSONȱ7—2ȱQUIZ
LegalȱConceptsȱ
Directions:ȱInȱtheȱAnswersȱcolumn,ȱwriteȱtheȱletterȱfromȱColumnȱ1ȱthatȱrepresentsȱ
theȱwordȱorȱphraseȱthatȱmatchesȱtheȱstatementȱinȱColumnȱ2.ȱ
ȱ
ȱ
ȱ
ȱColumnȱ1ȱȱColumnȱ2ȱAnswersȱ
ȱȱ 1.ȱAnȱincorrectȱbeliefȱbyȱbothȱpartiesȱaboutȱȱ 1. _______ ȱ
anȱimportantȱfactȱ
ȱ
ȱ2.ȱMisrepresentationȱwhenȱtheȱmisstatementȱȱ
2. _______
ȱȱȱȱȱȱȱȱȱȱȱȱȱȱȱȱȱ
wasȱmadeȱrecklesslyȱorȱintentionallyȱandȱȱȱȱȱȱȱȱȱȱȱȱȱȱȱȱ
injuryȱresultedȱ
ȱ
ȱȱ 3.ȱDistinguishedȱfromȱfactsȱbasedȱonȱhowȱ3. _______ ȱ
concreteȱtheyȱareȱ
ȱȱ 4.ȱImportantȱdetailsȱthatȱinfluenceȱtheȱȱ 4. _______ ȱ
parties’ȱcontractȱdecisionȱ
ȱȱ 5.ȱToȱestablishȱfraudȱthisȱmustȱbeȱprovenȱȱ 5. _______ ȱ
ȱȱ 6.ȱAȱstatementȱmadeȱbyȱaȱpartyȱwhoȱȱ
ȱȱ ȱdidȱnotȱknowȱitȱwasȱuntrueȱ6.ȱ______ȱ
ȱȱ 7.ȱAnotherȱnameȱforȱmutualȱmistakeȱ7. _______ ȱ
ȱȱ 8.ȱAȱsubstituteȱforȱaȱfalseȱstatementȱofȱfactȱ8. _______ ȱ
ȱȱ 9.ȱAnȱincorrectȱbeliefȱbyȱoneȱofȱtheȱpartiesȱȱ 9. _______ ȱ
inȱaȱcontractȱ
A.ȱopinionsȱ
B.ȱinnocentȱȱ
ȱmisrepresentationȱ
C.ȱunilateralȱmistakeȱ
D.ȱmutualȱmistakeȱ
E.ȱbilateralȱmistakeȱ
F.ȱfraudulentȱȱ
ȱmisrepresentationȱ
G.ȱmaterialȱfactsȱ
H.ȱfraudȱ
I.ȱinjuryȱ
J.ȱactiveȱconcealmentȱ
ȱȱ 10.ȱAȱstatementȱmadeȱbyȱaȱpartyȱwhoȱȱ 10._______ ȱ
knewȱitȱwasȱuntrueȱ
LegalȱApplicationsȱ
11.ȱCliffȱSandstromȱofferedȱtoȱsellȱhisȱMercuryȱCougarȱforȱ$8,000ȱtoȱhisȱneighborȱ
Emil.ȱEmilȱknowsȱthatȱCliffȱhasȱtakenȱgoodȱcareȱofȱtheȱcar,ȱandȱheȱagreesȱtoȱbuyȱ
it.ȱCliff’sȱson,ȱJohn,ȱdroveȱtheȱcarȱtoȱworkȱaȱweekȱago.ȱWhileȱJohnȱwasȱdrivingȱ
behindȱaȱdumpȱtruck,ȱaȱrockȱwasȱthrownȱontoȱtheȱwindshieldȱandȱaȱsmallȱcrackȱ
resulted.ȱJohnȱdidȱnotȱtellȱhisȱfatherȱaboutȱtheȱcrack.ȱNeitherȱCliffȱnorȱhisȱ
neighborȱnoticedȱtheȱcrackȱbeforeȱtheȱsaleȱwasȱmade.ȱIfȱEmilȱdecidesȱtoȱsueȱCliffȱ
forȱactiveȱconcealment,ȱwillȱheȱwin?ȱWhyȱorȱwhyȱnot?ȱȱ
STUDENT _______________________________________ CLASS _______________________ DATE _________
LESSONȱ7—2ȱPRACTICEȱACTIVITY
Readȱtheȱfollowingȱcasesȱandȱanswerȱtheȱquestionsȱaboutȱthem.ȱAttachȱaȱpageȱifȱadditionalȱ
spaceȱisȱneededȱforȱanswers.ȱ
ȱ
1.ȱTheȱEdwardsȱsoldȱtheirȱhouseȱtoȱtheȱWalshes.ȱPriorȱtoȱtheȱsale,ȱtheȱWalshesȱ
noticedȱaȱcreekȱrunningȱalongȱtheȱedgeȱofȱtheȱpropertyȱinȱtheȱbackȱofȱtheȱhouseȱ
andȱinquiredȱaboutȱit.ȱSpecifically,ȱtheyȱwantedȱtoȱknowȱwhetherȱitȱwouldȱfloodȱ
theȱtrial,ȱGrayceȱEdwardsȱadmittedȱthatȱsheȱandȱherȱhusbandȱhadȱsignedȱaȱ
petitionȱtoȱtheȱcountyȱcomplainingȱthatȱtheȱcreekȱfloodedȱneighborhoodȱhomes.ȱ
Mr.ȱEdwardsȱadmittedȱthatȱhisȱpropertyȱhadȱbeenȱfloodedȱfourȱotherȱtimes.ȱ
HaveȱtheȱEdwardsȱcommittedȱfraudȱifȱtheȱcreekȱcouldȱbeȱseenȱandȱexaminedȱbyȱ
theȱWalshes?ȱExplain.ȱ[Walshȱv.ȱEdwards,ȱ197ȱA.ȱ2dȱ424ȱ(Md.ȱ1964)]ȱ
ȱ
ȱ
ȱ
2.ȱB.N.S.ȱenteredȱintoȱaȱcontractȱtoȱsellȱ200,000ȱpoundsȱofȱchickenȱtoȱFrigaliment.ȱ
TheȱcontractȱrequiredȱthatȱtheȱchickenȱbeȱGradeȱA,ȱgovernmentȬinspected,ȱU.S.ȱ
freshȱfrozen,ȱofȱaȱcertainȱweightȱperȱchicken,ȱandȱcostȱbetweenȱ33ȱandȱ37ȱcentsȱ
exceptȱaȱgoose,ȱduck,ȱorȱturkey,ȱandȱthatȱaȱbuyerȱmustȱspecifyȱtheȱtypeȱofȱ
chickenȱheȱwants.ȱIsȱthereȱactuallyȱanȱagreementȱifȱB.N.S.ȱandȱFrigalimentȱhadȱ
twoȱdifferentȱideasȱinȱmindȱaboutȱtheȱchickens?ȱExplain.ȱ[FrigalimentȱImportingȱ
Chapter 7 Genuineness of Assent
2-28
STUDENT _______________________________________ CLASS _______________________ DATE _________
LESSONȱ7—2ȱRETEACH
Directions:ȱCircleȱtheȱanswersȱtoȱeachȱquestionȱinȱtheȱpuzzleȱbelow.ȱAnswersȱmayȱ
appearȱinȱhorizontal,ȱvertical,ȱorȱdiagonalȱform.ȱTheyȱmayȱalsoȱbeȱwrittenȱ
backwardsȱorȱfromȱtheȱbottomȱofȱtheȱpuzzleȱtoȱtheȱtop.ȱ
ȱ
1.ȱWhatȱmustȱendȱwhenȱaȱtrueȱstatementȱisȱmadeȱfalseȱbyȱsubsequentȱevents?ȱ
3.ȱWhatȱkindȱofȱmistakeȱinvolvesȱanȱincorrectȱbeliefȱbyȱoneȱofȱtheȱpartiesȱinȱaȱ
contract?ȱ
4.ȱWhatȱkindȱofȱmistakeȱinvolvesȱanȱincorrectȱbeliefȱbyȱbothȱpartiesȱaboutȱanȱ
importantȱfact?ȱ
5.ȱWhatȱisȱanotherȱnameȱforȱaȱmutualȱmistake?ȱ
6.ȱAȱstatementȱmadeȱbyȱaȱpartyȱwhoȱknewȱitȱwasȱuntrueȱisȱcalledȱa(n)ȱ
____________________ȱmisrepresentation.ȱ
7.ȱWhatȱareȱimportantȱdetailsȱthatȱinfluenceȱtheȱparties’ȱcontractȱdecisions?ȱ
8.ȱAȱcrimeȱthatȱisȱbasedȱonȱmisrepresentationȱisȱcalled____________________.ȱ
9.ȱ____________________ȱandȱintentȱmustȱbeȱprovedȱtoȱestablishȱfraud.ȱ
10.ȱAȱsubstituteȱforȱaȱfalseȱstatementȱofȱfactȱisȱcalledȱactiveȱ____________________.ȱ
ȱ
ȱ
CȱOȱNȱCȱLȱMȱNȱTȱNȱUȱOȱCȱMȱLȱ
FȱRȱAȱUȱNȱIȱLȱAȱTȱEȱRȱAȱLȱBȱ
CȱOȱNȱCȱEȱAȱLȱMȱEȱNȱTȱTȱBȱEȱ
IȱNȱOȱDȱWȱDȱCȱMȱOȱEȱRȱBȱYȱRȱ
ȱ
Chapter 7 Genuineness of Assent 2-29
STUDENT _______________________________________ CLASS _______________________ DATE _________
LESSONȱ7—2ȱENRICHMENT
Asȱyouȱlearnedȱinȱthisȱlesson,ȱtheȱpartiesȱinȱaȱcontractȱnegotiationȱmayȱmakeȱ
statementsȱthatȱturnȱoutȱtoȱbeȱuntrue.ȱThisȱisȱknownȱasȱmisrepresentation.ȱCheckȱ
withȱaȱjudgeȱorȱattorneyȱforȱinformationȱonȱaȱcaseȱinvolvingȱmisrepresentationȱorȱ
readȱaboutȱoneȱinȱaȱmagazine,ȱnewspaper,ȱorȱInternetȱarticle.ȱNoteȱtheȱthreeȱpointsȱ
toȱprovingȱmisrepresentationȱasȱlistedȱinȱtheȱtext.ȱDetermineȱhowȱyourȱcaseȱprovesȱ
misrepresentationȱbyȱfillingȱinȱtheȱappropriateȱfactsȱbyȱeachȱofȱtheȱstatementsȱ
below.ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
2.ȱTheȱstatementȱisȱmaterialȱtoȱtheȱtransactionȱorȱisȱfraudulent.ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
Chapter 7 Genuineness of Assent
2-30
STUDENT _______________________________________ CLASS _______________________ DATE _________
ȱ
CHAPTERȱ7ȱTESTȱ
SECTION I—IDENTIFY LEGAL TERMS
Directions:ȱPlaceȱaȱTȱforȱTrueȱorȱanȱFȱforȱFalseȱinȱtheȱAnswersȱcolumnȱtoȱshowȱ
whetherȱeachȱofȱtheȱfollowingȱstatementsȱisȱtrueȱorȱfalse.ȱ
ȱAnswersȱ
1.ȱRescissionȱisȱconductȱsuggestingȱyouȱintendȱtoȱbeȱboundȱbyȱtheȱ
contract.ȱ
1._______ȱ
2.ȱTheȱabsenceȱofȱgenuineȱassentȱwillȱmakeȱaȱcontractȱvoidable.ȱ2._______ȱ
3.ȱCommittingȱanȱactȱofȱviolenceȱtoȱobtainȱaȱsignatureȱonȱaȱwrittenȱ
contractȱisȱduress.ȱ
3._______ȱ
4.ȱWhenȱoneȱpartyȱtoȱtheȱcontractȱisȱinȱaȱpositionȱofȱtrustȱandȱ
wrongfullyȱdominatesȱtheȱotherȱparty,ȱundueȱinfluenceȱoccurs.ȱ
4._______ȱ
5.ȱSigningȱaȱcontractȱwrittenȱinȱtechnicalȱterminologyȱthatȱyouȱdon’tȱ
understandȱwillȱnotȱbindȱyou.ȱ
5._______ȱ
6.ȱMaterialȱfactsȱareȱimportantȱfactsȱthatȱinfluenceȱtheȱparties’ȱ
decisionsȱaboutȱaȱcontract.ȱ
6._______ȱ
7.ȱInȱsomeȱstates,ȱtheȱcontractȱisȱstillȱvalidȱifȱtheȱmutualȱmistakeȱisȱ
aboutȱtheȱapplicableȱlaw.ȱ
7._______ȱ
8.ȱUnilateralȱmistakesȱcreateȱtheȱrightȱtoȱrescindȱorȱvoidȱtheȱ
contract.ȱ
8._______ȱ
9.ȱAllȱpersonsȱareȱpresumedȱtoȱknowȱtheȱlaw.ȱ9._______ȱ
10.ȱPunitiveȱdamagesȱareȱaȱformȱofȱpunishment.ȱ10._______ȱ
ȱ
Chapter 7 Genuineness of Assent 2-31
SECTION II—THINK CRITICALLY ABOUT LEGAL CONCEPTS
Directions:ȱInȱtheȱAnswersȱcolumnȱatȱtheȱrightȱofȱeachȱstatement,ȱwriteȱtheȱletterȱthatȱ
representsȱtheȱword,ȱorȱgroupȱofȱwords,ȱthatȱcorrectlyȱcompletesȱtheȱstatement.ȱ
ȱ
ȱȱ Answersȱ
11.ȱInȱorderȱtoȱbeȱeffective,ȱaȱrescissionȱmustȱbeȱ(a)ȱratified,ȱ(b)ȱ
prompt,ȱ(c)ȱagreedȱupon,ȱ(d)ȱnoneȱofȱtheseȱ
11._______ȱ
12.
ȱ
Aȱgenuineȱagreementȱmayȱbeȱlackingȱdueȱtoȱ(a)ȱduress,ȱ(b)ȱ
fraud,ȱ(c)ȱundueȱinfluence,ȱ(d)ȱallȱofȱtheseȱ
12._______ȱ
13.
ȱ
Inȱeconomicȱduressȱcases,ȱtheȱcourtsȱlookȱatȱ(a)ȱbothȱtheȱthreatȱ
andȱtheȱsizeȱofȱtheȱthreatenedȱparty,ȱ(b)ȱbothȱtheȱthreatȱandȱtheȱ
placeȱwhereȱtheȱthreatȱoccurred,ȱ(c)ȱbothȱtheȱthreatȱandȱtheȱ
alternativesȱavailableȱtoȱtheȱthreatenedȱparty,ȱ(d)ȱnoneȱofȱtheseȱ
13._______ȱ
14.
ȱ
Keyȱelementsȱinȱundueȱinfluenceȱareȱunfairȱpersuasionȱandȱ(a)ȱ
relationship,ȱ(b)ȱownership,ȱ(c)ȱbothȱaȱandȱb,ȱ(d)ȱnoneȱofȱtheseȱ
14._______ȱ
15.ȱAȱmistakeȱfromȱfailureȱtoȱreadȱaȱcontractȱbeforeȱsigningȱisȱcalledȱ
(a)ȱaȱfraudulentȱmistake,ȱ(b)ȱaȱmutualȱmistake,ȱ(c)ȱaȱunilateralȱ
mistake,ȱ(d)ȱnoneȱofȱtheseȱ
15._______ȱ
16.ȱGenerally,ȱmistakesȱthatȱhaveȱnoȱeffectȱuponȱtheȱcontractȱrightsȱȱȱ
ofȱtheȱpartiesȱareȱ(a)ȱfraudulentȱmistakes,ȱ(b)ȱmutualȱmistakes,ȱȱȱ
(c)ȱunilateralȱmistakes,ȱ(d)ȱnoneȱofȱtheseȱ
16._______ȱ
17.
ȱ
Inȱmisrepresentation,ȱtheȱstatementȱmustȱbeȱoneȱofȱ(a)ȱslander,ȱȱȱ
(b)ȱfact,ȱ(c)ȱopinion,ȱ(d)ȱunimportantȱinformationȱ
17._______ȱ
18.
Disclosureȱisȱrequiredȱwhenȱaȱstatementȱ(a)ȱomitsȱimportantȱ
18._______ȱ
19.ȱContractsȱenteredȱintoȱasȱȱresultȱofȱmisrepresentationȱorȱfraudȱ
areȱvoidableȱbyȱ(a)ȱtheȱinjuredȱparty,ȱ(b)ȱtheȱUCC,ȱ(c)ȱbothȱaȱandȱ
b,ȱȱȱ(d)ȱnoneȱofȱtheseȱ
19._______ȱ
20.
ȱ
Anȱuntrueȱstatementȱisȱnotȱmaterialȱifȱ(a)ȱtheȱstatementȱwouldȱ
causeȱaȱreasonableȱpersonȱtoȱcontract,ȱ(b)ȱtheȱdefendantȱknewȱ
thisȱplaintiffȱwouldȱrelyȱonȱtheȱstatement,ȱ(c)ȱtheȱdefendantȱ
knewȱtheȱstatementȱwasȱfalse,ȱ(d)ȱtheȱstatementȱwasȱanȱhonestȱ
opinionȱ
20._______ȱ
SECTION III—APPLY LEGAL PRACTICES
21.ȱWhenȱitȱbecameȱclearȱthatȱDean’sȱparentsȱneededȱsomeoneȱtoȱliveȱinȱandȱhelpȱ
careȱforȱthem,ȱDeanȱofferedȱtoȱdoȱit.ȱWithinȱaȱmonthȱafterȱmovingȱin,ȱheȱtoldȱhisȱ
parentsȱthatȱheȱwouldȱcontinueȱtoȱstayȱonlyȱifȱtheyȱsignedȱallȱtheȱrealȱestateȱoverȱ
toȱhimȱandȱgaveȱhimȱpowerȱofȱattorneyȱonȱtheirȱbankȱaccounts.ȱWithinȱfourȱ
monthsȱafterȱtheyȱdidȱthis,ȱDeanȱputȱhisȱparentsȱinȱaȱnursingȱhome.ȱCouldȱthisȱ
beȱconsideredȱundueȱinfluence?ȱCouldȱthereȱbeȱcauseȱforȱduressȱinȱthisȱ
situation?ȱExplainȱyourȱanswer.ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
ȱ
22.ȱBruceȱtoldȱMengȱthatȱtheȱmotorȱhadȱjustȱbeenȱrebuiltȱinȱtheȱtruckȱheȱwasȱsellingȱ
toȱMeng.ȱWithinȱfourȱmonthsȱafterȱtheȱpurchase,ȱtheȱmotorȱhadȱtoȱbeȱreplaced.ȱ
DidȱBruceȱcommitȱfraud?ȱExplainȱyourȱanswer.ȱ
ANSWERS
Lessonȱ7—1ȱ
Quiz
ȱ
10.ȱChariseȱneedsȱtoȱbeȱcompletelyȱhonestȱandȱwillingȱtoȱdiscussȱallȱtheȱimportantȱ
Practice Activity
1.ȱYes,ȱTotemȱwillȱbeȱsuccessful.ȱTheȱcourtȱagreedȱwithȱTotemȱandȱinvalidatedȱtheȱ
2.ȱNo,ȱUncleȱJackȱwillȱnotȱbeȱallowedȱtoȱtakeȱtheȱproperty,ȱandȱaȱjuryȱmustȱ
determineȱifȱthereȱwasȱundueȱinfluenceȱonȱtheȱchildrenȱbyȱUncleȱJack.ȱUndueȱ
influenceȱisȱtheȱexerciseȱofȱanȱimproperȱinfluenceȱoverȱtheȱmindȱandȱwillȱofȱ
anotherȱtoȱsuchȱanȱextentȱthatȱactionȱtakenȱisȱnotȱthatȱofȱaȱfreeȱagent.ȱItȱisȱtheȱ
2-34 Chapter 7 Genuineness of Assent
Chapter 7 Genuineness of Assent 2-35
Reteach
Theȱcorrectȱcardȱmatchesȱareȱasȱfollows:ȱ
1ȱandȱ10ȱ
2ȱandȱ17ȱ
5ȱandȱ8ȱ
6ȱandȱ15ȱ
7ȱandȱ9ȱ
Enrichment Activity
Lessonȱ7—2ȱ
Quiz
ȱ
Practice Activity
1.ȱOrdinarily,ȱaȱsellerȱofȱrealtyȱisȱnotȱobligatedȱtoȱdiscloseȱtoȱprospectiveȱbuyersȱ
objectionableȱorȱundesirableȱconditionsȱorȱfeaturesȱofȱtheȱpropertyȱofferedȱforȱ
2.ȱTheȱcourtȱfoundȱforȱB.N.S.ȱInȱtheȱopinionȱofȱFrigaliment,ȱaȱchickenȱwasȱaȱyoungȱ
chickenȱsuitableȱforȱbroilingȱandȱfrying.ȱAccordingȱtoȱB.N.S.,ȱaȱchickenȱmeansȱ
anyȱbirdȱofȱthatȱgenusȱthatȱmeetsȱcontractȱspecificationsȱonȱweightȱandȱquality,ȱ
Reteach
Answersȱtoȱwordȱsearchȱareȱcircledȱbelowȱandȱalsoȱappearȱinȱboldȱprint.ȱTheyȱareȱ
ȱ
2-36 Chapter 7 Genuineness of Assent
EȱRȱMȱȱOȱPȱAȱNȱNȱUȱUȱAȱAȱWȱ
CȱDȱTȱUȱRȱLȱEȱJȱDȱTȱOȱTȱJȱAȱ
SȱSȱIȱTȱAȱKȱEȱPȱUȱDȱAȱRȱFȱSȱ
ȱ
Enrichment Activity
Answersȱwillȱvary.ȱ
Chapter 7 Genuineness of Assent 2-37
ANSWERS TO TEST QUESTIONS
SECTION I
SECTION II
SECTION III
21.ȱYes.ȱTheȱthreatȱofȱleavingȱunlessȱtheyȱsignedȱoverȱeverythingȱdoesn’tȱreallyȱ
