1. George owns as factory that manufactures cotton beach towels. George promises to buy all the cotton he needs from Farmer Mike for the upcoming growing season.
This type of contract
a. is illusory
b. is an outputs contract
c. is a requirements contract.
d. is invalid since it lacks definite terms.
2. Sam and Everett take a trip to Vegas for Spring Break. Everett gambles and loses the money he needs to buy his plane ticket back home. Sam loans Everett the money he needs. Everett now owes Sam $632.65. This debt
a. is illusory
b. is a liquidated debt
c. i s an unliquidated debt
d. is unconscionable