1
Summary of California Law (10th), Contracts
I. INTRODUCTION
<d2.o n="A. Nature of Contract.
<d3.o n="1. Definitions.
<d4.o n="(a) [§1] Contract.
<d4.o n="(b) [§2] Related
Terms.
<d3.o n="2. Elements.
<d4.o n="(a) [§3] In General.
<d4.o n="(b) [§4] Parties.
<d3.o n="3. [§5] Other
Transactions or Relationships Distinguished.
<d2.o n="B. Modern Law of Contract.
<d3.o n="1. [§6] Restatement.
<d3.o n="2. [§7] Texts and Practice
Works.
<d3.o n="3. [§8] BAJI
Instructions.
<d3.o n="4. [§9] CACI
Instructions.
<d3.o n="5. [§10] New
Theories.
<d2.o n="C. Electronic Transactions.
<d3.o n="1. In General.
<d4.o n="(a) [§11] Uniform
Act.
<d4.o n="(b) [§12] Construction.
<d4.o n="(c) [§13] Definitions.
<d4.o n="(d) [§14] Applicability.
<d4.o n="(e) [§15] Attribution
of Electronic Record or Signature.
<d4.o n="(f) [§16] Change or
Error in Electronic Record.
<d4.o n="(g) [§17] Sending
and Receiving Records.
<d3.o n="2. Agreement and Legal Effect.
<d4.o n="(a) [§18] Agreement
To Transact Electronically.
<d4.o n="(b) [§19] Legal
Effect or Enforceability of Electronic Record, Signature, or Contract.
<d4.o n="(c) [§20] Automated
Transactions.
<d3.o n="3. Electronic Satisfaction.
<d4.o n="(a) [§21]
Requirement of Writing.
<d4.o n="(b) [§22]
Requirement of Notarization and Signature Under Penalty of Perjury.
<d4.o n="(c) [§23]
Requirement To Retain Records.
<d3.o n="4. [§24] Notice of
Right To Cancel.
II. CAPACITY OF PARTIES.
<d2.o n="A. [§25] General
Rule.
<d2.o n="B. Minors.
<d3.o n="1. Who Are Minors.
<d4.o n="(a) [§26] Age of
Majority: 18 years.
<d4.o n="(b) [§27] Misrepresentation
of Age.
<d3.o n="2. Void Contracts.
<d4.o n="(a) [§28 ] Delegation
of Power.
<d4.o n="(b) [§29] Contract
Relating to Real Property.
<d4.o n="(c) [§30] Other Void
Contracts.
<d3.o n="3. Voidable Contracts.
<d4.o n="(a) Disaffirmance.
<d5.o n="(1) [§31] Statutory
Right and Methods.
<d5.o n="(2) [§32] No Need To
Restore Consideration.
<d4.o n="(b) [§33] No
Recovery From Bona Fide Purchaser.
<d3.o n="4. Binding Contracts.
<d4.o n="(a) Contracts Authorized by Statute.
<d5.o n="(1) [§34] Contract
for Necessaries.
<d5.o n="(2) [§35] Contract
for Attorneys'' Fees.
<d5.o n="(3) Contracts of Creative Artist, Entertainer, or
Athlete.
<d6.o n="(aa) [§36] Scope of
Statute.
<d6.o n="(bb) [§37] Court
Approval.
<d5.o n="(4) Contracts for Medical or Dental Care.
<d6.o n="(aa) [§38] Nature of
Statutes.
<d6.o n="(bb) [§39] Unwed
Pregnant Minors.
<d6.o n="(cc) [§40] Married
Minors.
<d6.o n="(dd) [§41] Minors in
Military Service.
<d6.o n="(ee) [§42] Minors
Exposed to Communicable Disease.
<d6.o n="(ff) [§43] Minor
Raped or Sexually Assaulted.
<d6.o n="(gg) [§44] Minor With
Drug or Alcohol Problem.
<d6.o n="(hh) [§45] Minor
Needing Mental Health Treatment.
<d6.o n="(ii) [§46] Minor of
15 Living Apart.
<d5.o n="(5) [§47] Miscellaneous
Contracts.
<d5.o n="(6) [§48] Emancipated
Minors.
<d4.o n="(b) [§49] Parent's Agreement To Arbitrate.
<d2.o n="C. Persons of Unsound Mind.
<d3.o n="1. [§50] In
General.
<d3.o n="2. [§51] Capacity
To Contract.
<d3.o n="3. Void Contracts.
<d4.o n="(a) [§52] Insanity
Without Adjudication.
<d4.o n="(b) Adjudication of Insanity.
<d5.o n="(1) [§53] In
General.
<d5.o n="(2) [§54] Conservatee.
<d3.o n="4. [§55] Voidable
Contracts.
<d3.o n="5. Intoxication or Other Temporary Condition.
<d4.o n="(a) [§56] Intoxication.
<d4.o n="(b) [§57] Manic
Depressive Psychosis.
<d2.o n="D. [§58] Persons
Deprived of Civil Rights.
III. CONFLICT OF LAWS.
<d2.o n="A. In General.
<d3.o n="1. [§59] Nature of
Conflicts Rules.
<d3.o n="2. [§60] Earlier
Strict Rules.
<d3.o n="3. [§61] Approach
of Restatement 2d.
<d3.o n="4. [§62] California
Follows Restatement 2d.
<d3.o n="5. [§63] Governmental
Interest Approach.
<d2.o n="B. Validity and Effect of Contract.
<d3.o n="1. In General.
<d4.o n="(a) [§64] Importance
of Contacts.
<d4.o n="(b) [§65] Rule of
Validation.
<d3.o n="2. Law Chosen by Parties.
<d4.o n="(a) Modern View.
<d5.o n="(1) [§66] In
General.
<d5.o n="(2) [§67] Commercial
Code and Restatement 2d.
<d5.o n="(3) [§68] Distinction:
Contracts Involving Transaction of $250,000 or Over.
<d4.o n="(b) Illustrations.
<d5.o n="(1) [§69] Usury.
<d5.o n="(2) [§70] Statute of
Limitations.
<d5.o n="(3) [§71] Breach of
Duties Under Contract.
<d5.o n="(4) [§72] Deficiency
Judgment.
<d5.o n="(5) [§73] Unfair
Competition or Restraint of Trade.
<d3.o n="3. Where No Choice Made.
<d4.o n="(a) Place of Contracting.
<d5.o n="(1) [§74] Significance
of Factor.
<d5.o n="(2) [§75] What
Constitutes Place of Contracting.
<d4.o n="(b) [§76] Place of
Performance.
<d4.o n="(c) [§77] Location
of Subject Matter.
<d4.o n="(d) [§78] Domicile
and Related Factors.
<d3.o n="4. [§79] Public
Policy Exception.
<d3.o n="5. [§80] Where
Applicable Law Not Ascertainable.
<d3.o n="6. Particular Issues.
<d4.o n="(a) [§81] Capacity
To Contract.
<d4.o n="(b) Formalities of Execution.
<d5.o n="(1) [§82] In
General.
<d5.o n="(2) [§83] Statute of
Frauds.
<d4.o n="(c) [§84] Essential
Validity and Invalidating Factors
<d4.o n="(d) Illegality.
<d5.o n="(1) Traditional Rule.
<d6.o n="(aa) [§85] Place of
Contracting.
<d6.o n="(bb) [§86] Place of
Performance.
<d5.o n="(2) [§87] Restatement
Rules.
<d5.o n="(3) [§88] Usury.
<d5.o n="(4) [§89] Intentional
Violation of Foreign Law.
<d4.o n="(e) Interpretation and Construction.
<d5.o n="(1) [§90] California
Cases and Statutes.
<d5.o n="(2) [§91] Restatement
Rules.
<d4.o n="(f) [§92] Performance.
<d4.o n="(g) [§93] Recovery
for Breach.
<d2.o n="C. Assignment.
<d3.o n="1. [§94] In
General.
<d3.o n="2. [§95] Assignment
as Between Assignee and Assignor.
<d2.o n="D. [§96] Discharge.
<d2.o n="E. Particular Contracts.
<d3.o n="1. [§97] Contracts
Involving Land.
<d3.o n="2. [§98] Contracts
Involving Chattels.
<d3.o n="3. [§99] Other
Contracts.
<d2.o n="F. [§100] Restitution.
IV. CATEGORIES OF CONTRACT
<d2.o n="A. [§101] Executory
and Executed.
<d2.o n="B. Express, Implied, and Quasi-Contracts.
<d3.o n="1. [§102] Express
and Implied in Fact Contracts.
<d3.o n="2. [§103] Quasi-Contract
and Implied in Fact Contract Distinguished.
<d3.o n="3. [§104] ] Statutory
Obligations.
<d2.o n="C. Unilateral and Bilateral Contracts.
<d3.o n="1. [§105] Nature
and Presumptions.
<d3.o n="2. [§106] Presumption
of Bilateral Contract.
<d3.o n="3. [§107] Illustrations
of Unilateral Contracts.
<d2.o n="D. Joint and Several Contracts.
<d3.o n="1. Joint and Several Obligations.
<d4.o n="(a) Nature and Distinctions.
<d5.o n="(1) [§108] In
General.
<d5.o n="(2) [§109] Joint and
Several Obligation.
<d5.o n="(3) [§110] Several
Obligation.
<d4.o n="(b) [§111] Performance
and Discharge.
<d4.o n="(c) [§112] Action
and Judgment.
<d4.o n="(d) [§113] Contribution.
<d3.o n="2. [§114] Joint and
Several Rights.
<d2.o n="E. [§115] Judgment
as Contract.
V. FORMATION: MUTUAL CONSENT.
<d2.o n="A. Objective Theory.
<d3.o n="1. [§116] In
General.
<d3.o n="2. [§117] How
Consent Manifested.
<d3.o n="3. [§118] Negligence
in Signing or Accepting Instrument.
<d3.o n="4. Ignorance of Contractual Nature or Terms of
Instrument.
<d4.o n="(a) Contractual Terms Apparent to Reasonable Person.
<d5.o n="(1) [§119] General
Rule.
<d5.o n="(2) [§120] Illustrations.
<d4.o n="(b) Contractual Terms Not Apparent.
<d5.o n="(1) [§121] Test.
<d5.o n="(2) [§122] Illustrations.
<d4.o n="(c) Statutory Requirements.
<d5.o n="(1) [§123] In
General.
<d5.o n="(2) [§124] Of
Translation.
<d2.o n="B. Offer.
<d3.o n="1. In General.
<d4.o n="(a) [§125] Nature
and Effect.
<d4.o n="(b) [§126] Distinction:
Warning or Demand.
<d3.o n="2. Offer Not Contemplating Legal Relations.
<d4.o n="(a) [§127] Jest or
Social Engagement.
<d4.o n="(b) [§128] Statement
of Moral Obligation.
<d4.o n="(c) [§129] Sham
Instrument.
<d3.o n="3. Preliminary Negotiations and External Conditions
Precedent.
<d4.o n="(a) Call for, or Attempt To Induce, Offer.
<d5.o n="(1) [§130] Invitation
To Make Offer.
<d5.o n="(2) [§131] Solicitation
by Auctioneer.
<d5.o n="(3) [§132] Quotation
or Estimate.
<d4.o n="(b) [§133] Formal
Writing Contemplated.
<d4.o n="(c) [§134] Terms
Incomplete or Writing Required.
<d4.o n="(d) [§135] Approval
of Others Contemplated or Required.
<d4.o n="(e) [§136] Other
Conditions Precedent.
<d3.o n="4. Certainty of Offer.
<d4.o n="(a) In General.
<d5.o n="(1) [§137] Requirement
of Certainty.
<d5.o n="(2) [§138] Promises
Held Uncertain.
<d5.o n="(3) [§139] Promises
Held Certain.
<d4.o n="(b) Reasonable Interpretation of Nontechnical
Language.
<d5.o n="(1) [§140] Rule of
Liberal Construction.
<d5.o n="(2) Illustrations.
<d6.o n="(aa) [§141] Nature
and Quality of Performance.
<d6.o n="(bb) [§142] Consideration
or Price.
<d6.o n="(cc) [§143] Duration
of Contract.
<d5.o n="(3) [§144] Inquiry
into Purpose of Contract.
<d5.o n="(4) [§145] Uncertainty
Cured by Performance.
<d4.o n="(c) Matters Left to Future Agreement.
<d5.o n="(1) [§146] Minor or
Nonessential Detail.
<d5.o n="(2) Essential Element Reserved: No Contract.
<d6.o n="(aa) [§147] General
Rule.
<d6.o n="(bb) [§148] Distinction:
Contract To Negotiate Agreement.
<d6.o n="(cc) [§149] Terms of
Renewal Lease.
<d6.o n="(dd) [§150] Price of
Stock.
<d6.o n="(ee) [§151] Manner of
Payment.
<d5.o n="(3) Essential Element Reserved: Contract Enforced.
<d6.o n="(aa) [§152] Terms of
Lease.
<d6.o n="(bb) [§153] Price of
Goods or Stock.
<d6.o n="(cc) [§154] Promise
To Reach Agreement on Placement of Former Employees.
<d5.o n="(4) [§155] Changes
in Building Contract.
<d3.o n="5. Termination of Offer.
<d4.o n="(a) [§156] In
General.
<d4.o n="(b) [§157] Lapse of
Prescribed or Reasonable Time.
<d4.o n="(c) [§158] Death or
Incapacity of Offeror or Offeree.
<d4.o n="(d) Revocation by Offeror.
<d5.o n="(1) [§159] In
General.
<d5.o n="(2) [§160] When
Revocation Becomes Effective.
<d5.o n="(3) [§161] Indirect
Revocation: "Reliable Information.
<d5.o n="(4) [§162] General
Offer to Public.
<d4.o n="(e) [§163] Rejection
or Counteroffer by Offeree.
<d3.o n="6. Revocability.
<d4.o n="(a) Offeror's
Right To Revoke.
<d5.o n="(1) [§164] General
Rule of Revocability.
<d5.o n="(2) [§165] Exceptions.
<d4.o n="(b) Offer of Unilateral Contract.
<d5.o n="(1) [§166] Rule and
Theories.
<d5.o n="(2) [§167] Is the
Offeree Bound?
<d3.o n="7. Option.
<d4.o n="(a) [§168] Nature of
Option.
<d4.o n="(b) [§169] Requisites
of Option.
<d4.o n="(c) [§170] Rejection,
Counteroffer, and Death or Incapacity.
<d4.o n="(d) Kinds of Options.
<d5.o n="(1) Purchase Option.
<d6.o n="(aa) [§171] In
General.
<d6.o n="(bb) [§172] Right
Relates Back.
<d5.o n="(2) [§173] Other
Types.
<d4.o n="(e) Time of Exercise.
<d5.o n="(1) [§174] Option
for Fixed Period.
<d5.o n="(2) [§175] Option
Without Fixed Period.
<d4.o n="(f) Manner of Exercise.
<d5.o n="(1) [§176] In
General.
<d5.o n="(2) [§177] Effective
on Deposit in Mail.
<d4.o n="(g) Distinctions.
<d5.o n="(1) [§178] Preemption
Agreement.
<d5.o n="(2) [§179] Binding
Purchase Agreement.
<d2.o n="C. Acceptance.
<d3.o n="1. [§180] Who May
Accept Offer.
<d3.o n="2. Acceptor Must Have Knowledge of Offer.
<d4.o n="(a) [§181] In
General: Bilateral Contracts.
<d4.o n="(b) [§182] Unilateral
Contracts.
<d3.o n="3. Acceptance Must Be Unqualified.
<d4.o n="(a) [§183] General
Rule.
<d4.o n="(b) [§184] Grumbling
Acceptance and Implied Qualifications.
<d3.o n="4. Effect of Qualified Acceptance.
(a) [§185] In
General.
<d4.o n="(b) [§186] Exception
for Sale of Goods.
<d3.o n="5. Acceptance Must Be Communicated.
<d4.o n="(a) [§187] Necessity
of Communication.
<d4.o n="(b) Methods of Communication.
<d5.o n="(1) [§188] In
General.
<d5.o n="(2) [§189] Prescribed
Manner or Reasonable Manner.
<d5.o n="(3) [§190] Acceptance
Improperly Dispatched.
<d5.o n="(4) Mail or Telegraph.
<d6.o n="(aa) [§191] In
General.
<d6.o n="(bb) [§192] Revocation
Prior to Dispatch.
<d4.o n="(c) Silence of Offeree.
<d5.o n="(1) [§193] General
Rule: No Acceptance.
<d5.o n="(2) [§194] Duty To
Speak: Previous Relationship or Course of Dealing.
<d5.o n="(3) Use of Services, Goods, or Other Consideration.
<d6.o n="(aa) [§195] Conduct
as Acceptance.
<d6.o n="(bb) [§196] Exception:
Unsolicited Merchandise or Services.
<d5.o n="(4) [§197] Offeree's Intention To Accept.
<d5.o n="(5) Acceptance by Performance.
<d6.o n="(aa) [§198] In
General.
<d6.o n="(bb) [§199] Notification
to Offeror.
<d3.o n="6. [§200] Withdrawal
of Mailed Acceptance.
<d3.o n="7. [§201] Waiver of
Defect in Acceptance.
VI. FORMATION: CONSIDERATION
<d2.o n="A. In General.
<d3.o n="1. [§202] Requirement
of Consideration.
<d3.o n="2. [§203] Benefit
or Detriment.
<d3.o n="3. [§204] Given
Pursuant to Agreement.
<d3.o n="4. [§205] Value and
Adequacy.
<d3.o n="5. [§206] Presumption
of Consideration.
<d3.o n="6. [§207] Recital
of Consideration.
<d2.o n="B. What Constitutes Sufficient Consideration.
<d3.o n="1. Unilateral Contract: Act or Forbearance.
<d4.o n="(a) Acts.
<d5.o n="(1) [§208] In
General.
<d5.o n="(2) [§209] Acts Not
Involving Performance of Work or Services.
<d5.o n="(3) [§210] Performance
of Work or Services.
<d4.o n="(b) [§211] Forbearance
or Giving Up Right.
<d3.o n="2. Bilateral Contract: Mutual Promises.
<d4.o n="(a) [§212] In
General.
<d4.o n="(b) [§213] Extension
Agreement.
<d4.o n="(c) [§214] Composition
With Creditors.
<d4.o n="(d) [§215] Compromise
of Disputed Claim.
<d2.o n="C. What Constitutes Insufficient Consideration.
<d3.o n="1. [§216] In
General.
<d3.o n="2. [§217] Past
Consideration.
<d3.o n="3. Promise To Perform Existing Legal Duty.
<d4.o n="(a) [§218] Duty Owed
to Other Contracting Party.
<d4.o n="(b) [§219] Duty Owed
to Others or Imposed by Law.
<d3.o n="4. Compromise or Forbearance of Invalid Claim.
<d4.o n="(a) [§220] Claim
Wholly Invalid.
<d4.o n="(b) [§221] Valid but
Worthless Claim.
<d3.o n="5. Moral Obligation.
<d4.o n="(a) [§222] Traditional
Rule.
<d4.o n="(b) Departures From Rule.
<d5.o n="(1) [§223] In
General.
<d5.o n="(2) [§224] Restatement
2d.
<d2.o n="D. Mutuality of Obligation.
<d3.o n="1. In General.
<d4.o n="(a) [§225] Nature of
Problem.
<d4.o n="(b) [§226] Restatement
2d.
<d3.o n="2. Desire and Needs Contracts.
<d4.o n="(a) [§227] Desire
Contract: Illusory.
<d4.o n="(b) [§228] Needs or
Requirements Contract: Not Illusory.
<d3.o n="3. [§229] Election
To Approve or Modify.
<d3.o n="4. [§230] Right To
Modify.
<d3.o n="5. Unqualified Right To Cancel.
<d4.o n="(a) [§231] Illusory
Contract.
<d4.o n="(b) [§232] Effect of
Part Performance.
<d4.o n="(c) [§233] Effect of
Consideration.
<d3.o n="6. Restricted Right To Cancel.
<d4.o n="(a) [§234] Rule and
Theory.
<d4.o n="(b) [§235] Event Restriction.
<d4.o n="(c) [§236] Notice
Restriction.
<d4.o n="(d) [§237] Act
Restriction.
<d3.o n="7. [§238] Valid
Promise Voidable by Law.
<d2.o n="E. Where Consideration Is Unnecessary.
<d3.o n="1. Revival of Barred Legal Obligation.
<d4.o n="(a) Written Promise or Acknowledgment.
<d5.o n="(1) [§239] Rule and
Theory.
<d5.o n="(2) [§240] Writing.
<d5.o n="(3) [§241] Unqualified
Admission.
<d4.o n="(b) [§242] Communication
to Creditor.
<d3.o n="2. [§243] Executed
Transaction.
<d3.o n="3. Promissory Estoppel.
<d4.o n="(a) In General.
<d5.o n="(1) [§244] Nature of
Doctrine.
<d5.o n="(2) [§245] Promise
and Reliance.
<d5.o n="(2a) [§245A] (New)
Causation.
<d5.o n="(3) [§246] Damages.
<d5.o n="(4) [§247] Distinction:
Act Bargained For.
<d4.o n="(b) Illustrative Applications.
<d5.o n="(1) [§248] Promise
Not To Foreclose or Forfeit.
<d5.o n="(2) [§249] Promise
To Pay Pension or Bonus.
<d5.o n="(3) [§250] Subcontractor's Bid.
<d5.o n="(4) [§251] Government
Contract Offered to Bidders.
<d5.o n="(5. ) [§252] Guaranty.
<d3.o n="4. [§253] Charitable
Subscriptions.
<d3.o n="5. [§254] Stipulations.
<d3.o n="6. [§255] Premarital
Agreements.
VII. REALITY AND FREEDOM OF CONSENT
<d2.o n="A. Mistake.
<d3.o n="1. [§256] Allocation
of Risk.
<d3.o n="2. Mistake Preventing Mutual Assent: No Contract.
<d4.o n="(a) [§257] Unilateral
Mistake Where Other Party at Fault.
<d4.o n="(b) [§258] Mutual
Mistake: Neither or Both at Fault.
<d4.o n="(c) [§259] Effect of
Negligence.
<d3.o n="3. Mistake That Makes Contract Voidable.
<d4.o n="(a) Mistake of Fact.
<d5.o n="(1) Mutual Mistake as to Basic Fact.
<d6.o n="(aa) [§260] General
Principle.
<d6.o n="(bb) [§261] What
Constitutes Basic Fact.
<d5.o n="(2) Unilateral Mistake of Fact.
<d6.o n="(aa) [§262] In General.
<d6.o n="(bb) [§263] Restatement.
<d6.o n="(cc) [§264] Adoption
of Second Restatement Unconscionability Rule.
<d6.o n="(dd) [§265] Other
Party's Reliance.
<d6.o n="(ee) [§266] No Relief
Against Third Party.
<d6.o n="(ff) [§267] Contractor's Bid.
<d6.o n="(gg) [§268] Tax Sale.
<d5.o n="(3) Negligence of Mistaken Party.
<d6.o n="(aa) [§269] Relief
Denied.
<d6.o n="(bb) [§270] Excusable
Neglect.
<d6.o n="(cc) [§271] Mixed
Mistake of Judgment and Fact.
<d4.o n="(b) Mistake of Law.
<d5.o n="(1) [§272] In
General.
<d5.o n="(2) Relief Granted.
<d6.o n="(aa) [§273] Mutual
Mistake.
<d6.o n="(bb) [§274] Unilateral
Mistake.
<d5.o n="(3) [§275] Mistaken
Belief in Future Court Decision.
<d3.o n="4. Mistake in Writing: Reformation.
<d4.o n="(a) In General.
<d5.o n="(1) [§276] Nature of
Remedy.
<d5.o n="(2) [§277] Waiver of
Right.
<d5.o n="(3) [§278] Court Cannot
Make New Contract.
<d4.o n="(b) Instruments That May Be Reformed.
<d5.o n="(1) [§279] In
General.
<d5.o n="(2) [§280] Void or
Unenforceable Contract.
<d4.o n="(c) [§281] Types of
Mistake.
<d4.o n="(d) [§282] Effect of
Plaintiff's
Negligence.
<d4.o n="(e) [§283] Intervening
Rights of Third Persons.
<d3.o n="5. [§284] Exculpatory
Clause Protecting Defendant.
<d2.o n="B. Fraud.
<d3.o n="1. [§285] In
General.
<d3.o n="2. Actual Fraud.
<d4.o n="(a) [§286] Elements:
Traditional Listing.
<d4.o n="(b) Acts Constituting Actual Fraud.
<d5.o n="(1) Misrepresentation.
<d6.o n="(aa) [§287] Intentional
Misrepresentation.
<d6.o n="(bb) [§288] Negligent
Misrepresentation.
<d6.o n="(cc) [§289] Misrepresentation
of Law.
<d6.o n="(dd) [§290] Fraudulent
Representation.
<d5.o n="(2) Concealment.
<d6.o n="(aa) [§291] In
General.
<d6.o n="(bb) [§292] Relative
Bids.
<d5.o n="(3) [§293] False
Promise.
<d3.o n="3. Constructive Fraud.
<d4.o n="(a) [§294] In
General.
<d4.o n="(b) [§295] Confidential
Relationship.
<d4.o n="(c) [§296] Creditor's Duty to Guarantor.
<d3.o n="4. Effect of Fraud.
<d4.o n="(a) Fraud in Inducement.
<d5.o n="(1) [§297] Rescission.
<d5.o n="(2) [§298] Reformation.
<d4.o n="(b) [§299] Fraud in
Inception.
<d4.o n="(c) Reliance by Defrauded Party.
<d5.o n="(1) [§300] Nature of
Requirement.
<d5.o n="(2) [§301] Negligence
of Defrauded Party.
<d4.o n="(d) Fraud Without Injury or Damage.
<d5.o n="(1) [§302] Injury
Without Pecuniary Damage.
<d5.o n="(2) [§303] Rescission
Without Injury.
<d4.o n="(e) Provision Waiving Contest for Fraud.
<d5.o n="(1) [§304] Representations
Made by Party.
<d5.o n="(2) [§305] Agent's Representation: Innocent
Principal.
<d5.o n="(3) [§306] Agent's Representation: Guilty
Principal.
<d3.o n="5. Innocent Misrepresentation.
<d4.o n="(a) [§307] Ground
for Rescission.
<d4.o n="(b) [§308] Materiality
of Representation.
<d2.o n="C. Duress.
<d3.o n="1. [§309] Nature
and Kinds of Duress.
<d3.o n="2. [§310] Effect of
Duress.
<d3.o n="3. Threat of Duress (Menace).
<d4.o n="(a) [§311] In
General.
<d4.o n="(b) [§312] Threat of
Criminal Prosecution.
<d3.o n="4. Economic Compulsion.
<d4.o n="(a) [§313] Traditional
Rule on Lawful Acts.
<d4.o n="(b) [§314] Modern
Rule: Relief Granted.
<d4.o n="(c) [§315] Relief
Denied.
<d2.o n="D. Undue Influence.
<d3.o n="1. [§316] Nature
and Types.
<d3.o n="2. [§317] Effect of
Undue Influence.
<d3.o n="3. Parties in Confidential Relationship.
<d4.o n="(a) [§318] Fiduciaries.
<d4.o n="(b) [§319] Agents.
<d4.o n="(c) [§320] Families
and Friends.
<d3.o n="4. [§321] No
Confidential Relationship.
<d2.o n="E. Adhesive or Unconscionable Contracts.
<d3.o n="1. [§322] Alternate
Approaches.
<d3.o n="2. Adhesion Contracts.
<d4.o n="(a) In General.
<d5.o n="(1) [§323] Judicial
Development of Concept.
<d5.o n="(2) [§324] Restatement
2d: Standardized Agreements.
<d5.o n="(3) [§325] Contract
Meeting Adhering Party's
Reasonable Expectations.
<d4.o n="(b) Arbitration Agreements.
<d5.o n="(1) [§326] Valid
Agreements.
<d5.o n="(2) [§327] Invalid
Agreements.
<d5.o n="(3) [§328] Statutory
Compulsory Agreement.
<d4.o n="(c) [§329] Doctrine
Not Applicable.
<d3.o n="3. Unconscionable Contract or Term.
<d4.o n="(a) In General.
<d5.o n="(1) [§330] Commercial
Code and California Statute.
<d5.o n="(2) [§331] Restatement
2d.
<d4.o n="(b) Procedural and Substantive Unconscionability.
<d5.o n="(1) [§332] In
General.
<d5.o n="(2) [§333] Unconscionability
Defense Applied.
<d4.o n="(c) Arbitration Agreement.
<d5.o n="(1) Underlying Contract or Provision.
<d6.o n="(aa) [§334] Promotor's Contract With Artist.
<d6.o n="(bb) [§335] Purchase
Subject to Covenants, Conditions, and Restrictions.
<d6.o n="(cc) [§336] Employment
Contract.
<d6.o n="(dd) [§337] Other
Contract or Provision.
<d5.o n="(2) [§338] Federal
Law.
<d4.o n="(d) [§339] Bank
Depositor's Signature
Card.
<d4.o n="(e) [§340] Loan at
Excessive Interest.
<d4.o n="(f) [§341]
Employment Contract Terminating Commissions.
VIII. STATUTE OF FRAUDS
<d2.o n="A. In General.
<d3.o n="1. Requirement of Writing.
<d4.o n="(a) [§342] History
and Modern Approach.
<d4.o n="(b) [§343] California
Codes.
<d3.o n="2. Contract Unenforceable.
<d4.o n="(a) [§344] Defense
Waived if Not Asserted.
<d4.o n="(b) [§345] No
Affirmative Action.
<d4.o n="(c) [§346] Evidentiary
Effect.
<d3.o n="3. How Statute May Be Invoked.
<d4.o n="(a) [§347] Raising
Defense in Lower Court.
<d4.o n="(b) [§348] Party to
Contract or in Privity.
<d3.o n="4. [§349] Parol
Evidence Rule Distinguished.
<d2.o n="B. The Note or Memorandum.
<d3.o n="1. Nature of Requirement.
<d4.o n="(a) [§350] Evidence
of Terms.
<d4.o n="(b) [§351] Informal
Writings.
<d4.o n="(c) [§352] Writing
Not Intended as Memorandum.
<d3.o n="2. Sufficiency of Memorandum.
<d4.o n="(a) Strict Rule: Essential Elements of Contract.
<d5.o n="(1) [§353] Restatement
2d: Strict Rule.
<d5.o n="(2) [§354] California
Cases.
<d4.o n="(b) Relaxation of Rule.
<d5.o n="(1) [§355] Description
of Property.
<d5.o n="(2) [§356] Broker's Authorization.
<d5.o n="(3) [§357] Noncontractual
Writing.
<d5.o n="(4) [§358] Sale of
Goods.
<d2.o n="C. Signed by Party To Be Charged.
<d3.o n="1. [§359] Who Is
Party To Be Charged.
<d3.o n="2. [§360] Need Not
Be at End of Document.
<d3.o n="3. [§361] Need Not
Be Legal Name.
<d3.o n="4. [§362] Need Not
Be Handwritten.
<d2.o n="D. Contracts Within the Statute.
<d3.o n="1. Contract Not To Be Performed Within a Year.
<d4.o n="(a) [§363] In
General.
<d4.o n="(b) [§364] Commencement
and Computation of Period.
<d4.o n="(c) Where Performance Possible Within One Year.
<d5.o n="(1) [§365] Period
Indefinite.
<d5.o n="(2) [§366] Conditional
Contract.
<d5.o n="(3) [§367] Option To
Terminate.
<d5.o n="(4) [§368] Option To
Extend.
<d5.o n="(5) [§369] Performance
Excused or Discharged.
<d4.o n="(d) [§370] Exception
for Complete Performance on One Side.
<d3.o n="2. [§371] Contract
Not To Be Performed During Lifetime.
<d3.o n="3. Promise To Meet Another's Obligation.
<d4.o n="(a) The Suretyship Provision.
<d5.o n="(1) [§372] Scope of
Statute.
<d5.o n="(2) [§373] Restatement
2d.
<d4.o n="(b) Where Statute Does Not Apply.
<d5.o n="(1) [§374] Promise
to Debtor or Third Person.
<d5.o n="(2) Original Obligation of Promisor.
<d6.o n="(aa) [§375] In
General.
<d6.o n="(bb) [§376] Main
Purpose or Leading Object Rule.
<d4.o n="(c) [§377] The
Executor-Administrator Provision.
<d3.o n="4. Sale of Goods of $500 Value.
<d4.o n="(a) [§378] Scope of
Statute.
<d4.o n="(b) Exceptions.
<d5.o n="(1) [§379] Part
Payment and Apportionment.
<d5.o n="(2) [§380] Acceptance
and Receipt of Part of Goods.
<d5.o n="(3) [§381] Contract
To Manufacture Goods.
<d5.o n="(4) [§382] Admission
That Contract Was Made.
<d5.o n="(5) [§383] Qualified
Financial Contract.
<d3.o n="5. [§384] Sale of
Chose in Action of $5,000 Value.
<d3.o n="6. Sale or Lease of Real Property.
<d4.o n="(a) [§385] Scope of
Statute.
<d4.o n="(b) Distinctions and Exceptions.
<d5.o n="(1) [§386] In
General.
<d5.o n="(2) [§387] Oral
Rescission of Sales Contract.
<d3.o n="7. Agency To Contract in Writing.
<d4.o n="(a) Authority To Bind Principal.
<d5.o n="(1) [§388] Equal
Dignities Rule.
<d5.o n="(2) Exceptions.
<d6.o n="(aa) [§389] Agent
Acting Mechanically.
<d6.o n="(bb) [§390] Executive
Officer of Corporation.
<d6.o n="(cc) [§391] Liability
of Principal to Agent.
<d4.o n="(b) Real Estate Agent's Right to Commissions.
<d5.o n="(1) [§392] Nature
and Effect of Statute.
<d5.o n="(2) Scope of Statute.
<d6.o n="(aa) [§393] Oral
Agreement To Lease.
<d6.o n="(bb) [§394] Oral
Agreement To Obtain Option.
<d6.o n="(cc) [§395] Oral
Finders Agreement.
<d5.o n="(3) [§396] Exception:
Agreement To Sell Personal Property.
<d5.o n="(4) [§397] Distinctions.
<d3.o n="8. [§398] Contract
To Loan Money or Extend Credit.
<d3.o n="9. [§399] Marital
and Premarital Agreements.
<d3.o n="10. . [§400] Miscellaneous
Provisions.
<d2.o n="E. Where the Statute Does Not Apply.
<d3.o n="1. [§401] Executed
Oral Agreement.
<d3.o n="2. Part Performance: Transfer of Land.
<d4.o n="(a) [§402] Scope of
Exception.
<d4.o n="(b) What Constitutes Part Performance.
<d5.o n="(1) [§403] In
General.
<d5.o n="(2) [§404] Sufficiency
of Possession.
<d5.o n="(3) [§405] Restatement
2d.
<d3.o n="3. Estoppel To Plead Statute.
<d4.o n="(a) In General.
<d5.o n="(1) [§406] Theory of
Exception.
<d5.o n="(2) [§407] Restatement
2d: Promissory Estoppel.
<d4.o n="(b) Conduct of Defendant.
<d5.o n="(1) [§408] In
General.
<d5.o n="(2) Change of Position and Unjust Enrichment.
<d6.o n="(aa) [§409] In
General.
<d6.o n="(bb) [§410] Real
Estate Broker's Authorization.
<d6.o n="(cc) [§411] Finder's
Agreement.
<d6.o n="(dd) [§412] Other
Situations.
<d4.o n="(c) Where Recovery Will Be Denied.
<d5.o n="(1) No Substantial Change of Position.
<d6.o n="(aa) [§413] In
General.
<d6.o n="(bb) [§414] Real
Estate Broker's Authorization.
<d5.o n="(2) [§415] No Unjust
Enrichment.
<d5.o n="(3) [§416] Contract
Made by Agent.
<d3.o n="4. [§417] Qualified
Financial Contract.
<d3.o n="5. [§418] Personal
Property Leases.
IX. ILLEGALITY: IN GENERAL
<d2.o n="A. What Constitutes Illegality.
<d3.o n="1. [§419] Illegal
Consideration.
<d3.o n="2. [§420] Illegal
Object.
<d3.o n="3. Partial Illegality and Severability.
<d4.o n="(a) [§421] General
Principles.
<d4.o n="(b) [§422] Liberal
Rule of Severability.
<d3.o n="4. Indirect Connection With Illegal Transaction.
<d4.o n="(a) Remote Connection or Mere Knowledge.
<d5.o n="(1) [§423] General
Rule and Theory.
<d5.o n="(2) [§424] Seller of
Goods.
<d5.o n="(3) Lender of Money.
<d6.o n="(aa) [§425] In
General.
<d6.o n="(bb) [§426] Loan to
Gambler.
<d4.o n="(b) Severance of Executory and Executed Phases.
<d5.o n="(1) [§427] Agreement
To Sell and Sale.
<d5.o n="(2) [§428] Title
Resulting From Performance.
<d4.o n="(c) [§429] Executory
Agreement Superseding Illegal Agreement.
<d3.o n="5. [§430] Illegal
Contract the Foundation of Suit.
<d2.o n="B. Effect of Illegality.
<d3.o n="1. In General: Contract Void.
<d4.o n="(a) [§431] Malum In
Se and Malum Prohibitum.
<d4.o n="(b) [§432] No
Ratification, Waiver, or Estoppel.
<d4.o n="(c) [§433] No
Validity by Statutory Repeal.
<d4.o n="(d) [§434] Pleading
Unnecessary.
<d4.o n="(e) [§435] Form
Disregarded: Use of Parol Evidence.
<d4.o n="(f) [§436] No
Quasi-Contract Recovery.
<d4.o n="(g) [§437] No Setoff
Where Public Interest Involved.
<d3.o n="2. Effect of Being, or Not Being, in Pari Delicto
<d4.o n="(a) Restitution or Quasi-Contract Recovery.
<d5.o n="(1) [§438] Plaintiff's
Right to Restitution.
<d5.o n="(2) [§439] Sales
Contract.
<d4.o n="(b) Enforcement of Contract.
<d5.o n="(1) [§440] General
Rule: No Enforcement.
<d5.o n="(2) When Contract Will Be Enforced.
<d6.o n="(aa) [§441] In
General.
<d6.o n="(bb) [§442] License
Cases.
<d6.o n="(cc) [§443] Plaintiff
in Pari Delicto.
<d6.o n="(dd) [§444] Illegal
Partnership.
<d4.o n="(c) [§445] Member of
Protected Class.
<d4.o n="(d) [§446] Determination
of Relative Wrong.
<d3.o n="3. [§447] Voluntary
Withdrawal From Executory Contract.
<d3.o n="4. [§