CO Bar Contracts and Sales 2

Question 1

A merchant emails another merchant: 'I offer to sell you 500 widgets at $10 each. This offer will remain open for 10 days.' Three days later, before any acceptance, the offeror emails a revocation. Under UCC Article 2, is the revocation effective?

Accepted Answer

No, because a signed merchant's firm offer is irrevocable for the stated period up to three months

Answer

Under UCC 2-205, a signed writing by a merchant giving assurance an offer will be held open is irrevocable without consideration for the stated time, up to three months.

Question 2

A homeowner promises to pay a painter $5,000 for painting her house. After the painter finishes, the homeowner says, 'You did such great work, I'll pay you an extra $500 next week.' She never pays the extra $500. Is the promise to pay the extra $500 enforceable?

Accepted Answer

No, because it is not supported by consideration since the painting was already completed

Answer

Past consideration is not valid consideration, so a promise made for work already performed is generally unenforceable.

Question 3

A buyer and seller sign a fully integrated written contract for the sale of land. The buyer later claims the seller orally promised, before signing, to also include a tractor at no extra cost. May the buyer introduce evidence of the oral promise?

Accepted Answer

No, because the parol evidence rule bars prior oral terms that contradict or supplement a fully integrated writing

Answer

The parol evidence rule excludes evidence of prior or contemporaneous agreements offered to supplement or contradict a complete integration.

Question 4

A contractor agrees to build a deck for $8,000. Midway through, the contractor demands $2,000 more due to rising lumber costs, and the homeowner agrees. Under common law, is the modification enforceable?

Accepted Answer

No, unless supported by new consideration or unanticipated circumstances, due to the preexisting duty rule

Answer

Under the common law preexisting duty rule, a promise to pay more for a duty already owed is unenforceable absent new consideration or unforeseen difficulties.

Question 5

A buyer orders 100 blue shirts. The seller ships 100 red shirts with a note stating, 'We are out of blue; sending red as an accommodation.' What is the legal effect of the shipment?

Accepted Answer

It is a counteroffer, not an acceptance, so the seller is not in breach

Answer

Under UCC 2-206, shipment of nonconforming goods with a seasonable notice of accommodation is a counteroffer rather than an acceptance and breach.

(CO Bar) Colorado Bar Exam Practice Test

(CO Bar) Colorado Bar Exam Practice Test

CO Bar Contracts and Sales 2