E-Mation Entered into a Contract with a Consumer,Ezra,a Recent Immigrant

question 2

Multiple Choice

E-mation entered into a contract with a consumer,Ezra,a recent immigrant to the United States,who spoke very little English,and had no formal education.The contract provided for Ezra to pay $2500 for a computer system.The system was worth $400.If E-mation sued Ezra for enforcement the contract,what is the most likely result?

• A) The contract is enforceable because of the Statute of Frauds.
• B) The contract is enforceable because of the parol evidence rule.
• C) The contract is enforceable because of the underlying reference rule.
• D) The contract is unenforceable because it is unconscionable.

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Definitions:

Distributive Property

A property indicating that the multiplication of a number by a sum is equal to the sum of the individual multiplications, represented as \(a(b + c) = ab + ac\).

Additive Inverse Property

A principle stating that for any real number, there exists another real number that, when added together, equals zero.

Distributive Property

A property indicating that multiplying a sum by a number gives the same result as multiplying each addend by the number and then adding the products.

Principal Investment

The initial amount of money invested, before any earnings or interest.