GA Bar Contracts and Sales 3

Question 1

Which of the following contracts does NOT need to satisfy the Statute of Frauds to be enforceable?

Accepted Answer

A contract for the sale of goods for $450

Answer

The UCC Statute of Frauds applies to contracts for the sale of goods priced at $500 or more; a $450 contract falls below the threshold and needs no writing.

Question 2

Under the parol evidence rule, which type of evidence is admissible to supplement or contradict a fully integrated written contract?

Accepted Answer

Evidence that a party was fraudulently induced to enter the contract

Answer

Fraud in the inducement is always admissible despite the parol evidence rule because it attacks the validity of the contract itself, not its terms.

Question 3

The specially manufactured goods exception to the UCC Statute of Frauds applies when:

Accepted Answer

The goods are not suitable for sale to others and the seller has made a substantial beginning of manufacture

Answer

Under UCC 2-201(3)(a), an oral contract is enforceable for specially manufactured goods not suitable for resale if the seller has made a substantial beginning of manufacture before repudiation.

Question 4

Under common law, modifying an existing contract without new consideration is generally:

Accepted Answer

Unenforceable due to the pre-existing duty rule

Answer

The pre-existing duty rule bars enforcement of a contract modification at common law unless the modification is supported by new consideration from both parties.

Question 5

Under UCC Article 2, modification of a contract for the sale of goods:

Accepted Answer

Requires no consideration but must be in good faith

Answer

UCC 2-209 expressly rejects the common law pre-existing duty rule, allowing contract modifications without consideration as long as they are made in good faith.

(GA Bar) Georgia Bar Exam Practice Test

(GA Bar) Georgia Bar Exam Practice Test

GA Bar Contracts and Sales 3