LLM Contract Law & Commercial Transactions 1

Question 1

Which element is NOT required for a valid contract under common law?

Accepted Answer

Written form

Answer

Common law does not require most contracts to be in writing; oral contracts are generally enforceable unless the Statute of Frauds applies.

Question 2

Under the UCC Article 2, when does title to goods pass from seller to buyer in the absence of agreement?

Accepted Answer

At the time and place of physical delivery

Answer

UCC § 2-401 provides that title passes to the buyer at the time and place at which the seller completes performance with respect to physical delivery.

Question 3

The doctrine of promissory estoppel allows enforcement of a promise even without consideration when which elements are met?

Accepted Answer

A clear promise, reasonable reliance, and injustice without enforcement

Answer

Promissory estoppel requires a clear promise, foreseeable and actual detrimental reliance by the promisee, and injustice that can only be avoided by enforcement.

Question 4

What is the legal effect of a 'material breach' of contract?

Accepted Answer

The non-breaching party may treat the contract as terminated and sue for total breach damages

Answer

A material breach allows the non-breaching party to suspend or terminate performance and seek expectation damages for total breach of contract.

Question 5

Under common law, the 'mirror image rule' provides that an acceptance must:

Accepted Answer

Match the terms of the offer exactly without alteration

Answer

The mirror image rule requires that an acceptance must conform exactly to the terms of the offer; any deviation constitutes a counteroffer rather than an acceptance.

LLM - Master of Laws Practice Test

LLM - Master of Laws Practice Test

LLM Contract Law & Commercial Transactions 1