Chapter Review & Key Takeaways
Review of Contracts & Sales
This chapter introduced contract formation, consideration, capacity, legality, defenses, performance, remedies, and the Uniform Commercial Code rules governing sales of goods, including warranties, title, risk of loss, and buyer and seller remedies.
- Identify the elements of a valid contract.
- Differentiate common law and UCC contracts.
- Recognize defenses to enforcement.
- Understand contract performance and discharge.
- Identify available contract remedies.
- Apply UCC rules governing sales of goods.
- Differentiate express and implied warranties.
- Understand title, risk of loss, and UCC remedies.
Tip
For the CPA REG Exam, begin every contracts question by determining whether common law or the UCC governs the transaction.
Summary
Contracts and sales law establish the legal framework for commercial transactions, making them an essential component of the CPA REG discipline.