Name Date Class Lessoru 7-1DunessANDUruoue lrurlueruce Lesson7-1Outline I. G e n u i n eA s s e n ta n d D u r e s s A. Duress 1, '['hreats of lllegalor TortiousConduct 2. -fhreats to ReportCrirrres 3. -l-hreats to Sue 1 . E c o n o r l iT c hreats II. UndueInflr"rcnce andAssent A. 'l'he Relationship tl. UrrfairPe'rsuasiorr Lesson7-1 Review Vocabulary Review De./ittetlrclbllou'irtgt,ocubularyterms, l. r'alid Legulll, binding und enforceable. 2. genuine assent Agreement to enter into a conlruct that is evidencedby words or conduct hetw,eentlte parties; true and complete agreement. 3. voidable A contract tltat can be withdrawnfrom becauseit lacks genuine agreement. 10 Chapter7 Genuineness of Assent @ 2 0 12 C e n g a g e L e a r n i n g .A l l R i g h t s R e s e r v e d .N I a yn o t b e c o p i e d ,s c a n n e d ,o r d u p l i c a t e d ,i n w h o l e o r i n p a r t , e x c e p tf o r u s e a s p e r m i t t e di n a l i c e n s e distributedwith a certain product or service or otherwise on a password-protectedwebsite for classroom use. s'tt r)E\t' LESSON 7-'t / DATE CLASS QUIZ Legal Concepts Directions:Fill in the blank(s) with the most appropriate term or phrase to complete the sentence. Answers i, If one party uses physical threats to obtain another party's signature,there is no ? agreementbetween them. 2 Tf thpre iq contractis qpnuine no assenf q u J L r L ( / fhe anrr.arr.nf 1. ) ? 3. A(n) ? occurswhen one partv backsout of a transaction by asking for the return of what they gave and offering to give back n'hat they have received. 3. 4, In a(n) ? relationship, an inordinate amount of trust and confidenceis placed by a dependentparty in the dominant party. 4. 5. Duressoccurswhen one party usesa(n) 5, ? or ? to obtain an expression of agreement. 6. When one party to a contractis in a position of trust and wrongfully dominates the other party, ? occurs. 6. 7. The threat to engage in illegal conduct to win agreementis always considered 7. B. The two key elements in undue influence are the relationship and the wrongful or unfair B. 2 9. Duress can occur when the threat to ? is reallv made for a purpose unrelated to the suit. 2-22 9 Chapter7 Genuineness of Assent I 2 c 1 2C e n g a g eL e a r n i n gA.l l R i g h t sR e s e r v e dM. a yn o tb e c o p i e ds, c a n n e do,r d u p l i c a t e d i n, w h o l eo r i n p a r t ,e x c e pfto r u s ea s pemrttedIn a licensedistributed with a certainproductor serviceor otherwiseon a password-protected websitefor classroomuse Date Name Class L e s s o r {7 - 2 Mrsra K E ,MT S R E p R ESENTATIoN, ANDFRAUD Lesson7-2 Outline I. ll. \\:hatAre theT1,pes of Contractual rnistakes? WhatIs Misrepresentation? .\. UlrtrLle Statement of Fact l . , A c t i vC e oncealment 2, Silence I). Materiality C. Reasorrable Reliance III. [rraud a n dR e m e d i ef so r F r a u d A. TheMisrepresentation MustBe Intentional or Reckless B. TheMisrepresentation or Concealment MustInjure C. Remedies f,orFraud L Rescission 2. Damages 3. PunitiveDamages 12 Chapter7 Genuineness of Assent O 2 0 12 C e n g a g e L e a r n i n g .A l l R i g h t s R e s e r v e d .M a y n o t b e c o p i e d ,s c a n n e d ,o r d u p l i c a t e d ,i n w h o l e o r i n p a r t , e x c e p tf o r u s e a s p e r m i t t e di n a l i c e n s e distrlbutedwlth a certain product or service or otherwise on a password-protectedwebsite for classroom use. SI'UDENT' / LESSON DATE 7-2 QULZ Legal Concepts Directions:In the Answers column, write the letter from Column 1 that represents the word or phrase that matchesthe statementin Column 2. Coltrnut1 A. opinions B. innocent misrepresenta tion Coltunrt2 1 . An incorrectbelief by both parties about an important fact Misrepresentationwhen the misstatement 2 . was made recklesslyor intentionally and injury resulted C. unilateral rnistake D. mutual mistake E, bilateral mistake F. fraudulent misrepresentation C. rnaterialfacts Answers 1. 3. Distinguishedfrom factsbasedon how concretethey are 4. Important detailsthat influencethe parties' contractdecision /1 . = 5. To establishfraud this must be proven 5. 6. A statementmade by a party who H. fraud did not know it was untrue 6 I . lnJury 7. Another name for mutual mistake 7. I. B. A substitutefor a falsestatementof fact 9. An incorrectbelief bv one of the parties B, 9. activeconcealment in a contract 10. A statementmade by a party who knen, it lt'as untrue i0. LegalApplications 11. Cliff Sandstrom offered to sell his Mercury Cougar for $8,000to his neighbor Emil. Emil knows that Cliff has taken good care of the car, and he agreesto buy it. Cliff's son, John, drove the car to work a week ago. While ]ohn was driving behind a dump truck, a rock was thrown onto the windshield and a small crack resulted. john did not tell his father about the crack. Neither Cliff nor his neighbor noticed the crack before the salewas made. If Emil decidesto sue Cliff ior active concealment,will he win? Whv or whv not? l'.apter 7 Genuineness of Assent 2-27 3 2 : ' 2 C e n g a g e L e a r n i n g .A l l R i g h t s R e s e r v e d .l \ i l a yn o t b e c o p i e d ,s c a n n e d ,o r d u p l i c a t e d ,i n w h o l e o r i n p a r t , e x c e p tf o r u s e a s :€- :ted tn a license distributed with a certain product or service or otheMise on a password-protectedwebsite for classroom use.