AR Bar Contracts 3

Question 1

Under Arkansas law, a third-party beneficiary has enforceable rights when the contracting parties intend to:

Accepted Answer

Directly benefit the third party under the contract

Answer

An intended beneficiary — one the parties deliberately meant to benefit — has enforceable contract rights; an incidental beneficiary does not.

Question 2

In Arkansas, which doctrine may enforce a promise that lacks consideration if the promisor reasonably expected the promisee to rely on it and the promisee did so to their detriment?

Accepted Answer

Promissory estoppel

Answer

Promissory estoppel substitutes for consideration when detrimental reliance on a promise is foreseeable and injustice can only be avoided by enforcement.

Question 3

Under Arkansas law, a contract formed under duress is:

Accepted Answer

Voidable at the election of the coerced party

Answer

A contract formed under duress is voidable — the coerced party may rescind it, but it is not automatically void.

Question 4

Under the Arkansas UCC, when a contract does not specify a delivery location, the seller's place of business is the:

Accepted Answer

Default delivery location

Answer

Under UCC § 2-308, the seller's place of business is the default delivery location when none is specified in the contract.

Question 5

Which type of contractual mistake may void a contract in Arkansas when both parties share the same erroneous belief about a material fact?

Accepted Answer

Mutual mistake

Answer

A mutual mistake about a material fact that goes to the essence of the agreement may allow rescission of the contract.

AR Bar - Arkansas Bar Test Practice Test

AR Bar - Arkansas Bar Test Practice Test

AR Bar Contracts 3