FORM OF CONTRACT What is used for the formal requirements of contract? Form as a Condition for Proof Art. 200 of Turkish Civil Procedure Law states that all kinds of monetary transactions over 2500 TL can only be proved by a written document. Where the form of proof required in a contract does not mean that it is a validity form of contract. Contracts are still valid even if it is not made in the form of proof. But it can not be enforceable before the court. 1
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FORM OF CONTRACT
What is used for the formal requirements of contract? Form as a Condition for Proof
Art. 200 of Turkish Civil Procedure Law states that all kinds of monetary transactions over 2500 TL can only be proved by a written document.
Where the form of proof required in a contract does not mean that it is a validity form of contract. Contracts are still valid even if it is not made in the form of proof. But it can not be enforceable before the court.
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REALITY OF CONSENT
2. Fictitious Transactions (Simulated Transactions) The parties enter into a contract want to create an
appearance to third parties which they do not reflect their real intention. There are two types of fictitious transactions.
Relative Fictitious Transaction In this type there two seperate agreements. One is
apparent contract which creates a false appearence toward the third parties. The other agreement is concealed (hidden) behinde the apparent contract.
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REALITY OF CONSENT
Absolute Fictitious Transaction In this type there is just one agreement
without any hidden contract. They just want to create an appearence toward the third parties.
Illustration: The debtor sells his house to his wife to save himself from the seizure of the creditors.
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REALITY OF CONSENT
Essential Mistakes If the mistake is essential the mistaken party is not
bound by such a contract (Art. 30 of TCO). According to art. 31 of TCO the mistake is considered in
the following cases: Mistake as the nature of the contract Mistake as to the identity of subject matter Mistake as to the identity of the other party Mistake as to the quantity Mistake related to the necessary elements of the contract
Two conditions required:Subjective condition: The mistaken party would not have made the contract if he had known the absence of stated facts.Objective condition: The stated facts should be objectively considered the necessary elements of the transaction according to commercial good will.
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REALITY OF CONSENT
FRAUD Fraud is the behavior of fraudulent party with
the intention of inducing other party into a mistake in motive in order to obtain the consent of defrauded party.
There is no need to have into an essantial mistake to avoid the contract. If someone misdirected to make a contract with a fraudulent act, he is not bound with that contract.
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REALITY OF CONSENT
3. An Adequate Causal Connection There must be a causal connection between the
fraudulent conduct and the formation of the contract. If the injured party knew fraud, he would never enter into contract.
There should be also an economic loss as of the false statement or concealment of a material fact. Otherwise defrauded party cannot claim the avoidance.
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REALITY OF CONSENT
When the party under mistake, fraud or duress does not notify wihin one year, the contract shall be deemed ratified. The contract in this case valid since it is concluded.
Conducts of the injured party implying the approval of the defective contract may also be considered ratification. Exp. If the injured party consumes the goods sent to him.
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Question 1 1. Which one of the following is a
branch of private law? A) Tax Law B) Criminal Procedure Law C) Administrative Law D) Commercial Law E) Philosophy of Law
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Question 2 2. Which one of the following makes
a contract void because of its subject matter?
A) Individual rights B) Good morals C) Public policy D) Imperative rules E) All of the above
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Question 3 3. Which one of the following is not
necessary element to create a valid contract?
A) Offer B) Acceptance C) Written form D) Legal capacity E) Legal subject matter
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Question 4 4. If only a single party is under a
commitment due to the nature of the contract, what is such a contract named?
A) Enforcement B) Unilateral legal transactions C) Bilateral transactions D) Unilateral contracts E) Bilateral contracts
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Question 5 5. Which one of the following
contract is an example of synallagmatic or reciprocally bilateral contract?
A) Deposit B) Contract of mandate C) Contract of sale D) Contract of suretyship E) Donation
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Question 6 6. Which one of the following is not
a kind of imperfect obligations? A) Obligations arising from gaming
contracts B) Obligations arising from betting
contracts C) Obligations arising from
service contract D) Marriage brokerage E) Obligations arising from the
accomplishment of moral duties
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Question 7 7. How would you legally classify
the writing of “For rent” on a window of an apartment?
A) Invitation to make an offer B) Offer C) Bilateral transactions D) Acceptance E) Bilateral contracts
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Question 8 8. Which one of the following is not
classified as written rules? A) The Constitution B) Codes and Statutes C) International treaties D) Custom E) Statutory Decrees
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Question 9 9. Which one of the following
partnership is not provided in the Turkish Commercial Code?
A) Ordinary partnership B) Joint stock company C) Limited liability Company D) General partnership E) Limited partnership
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Question 10 10) I. Contract
II. Tort (Illegal Act) III. Unjust EnrichmentWhich ones of the above-mentioned sources are the origin of obligations in TCO?
A) I, II and III B) I and II C) II and III
D) I and III E) None of the above
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Question 11 11. What is the term used for legal
transactions that may take legal effect by the single declaration of a party?
A) Enforcement B) Unilateral legal
transactions C) Bilateral transactions D) Unilateral contracts E) Bilateral contracts
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Question 12 12. If only a single party is under a
commitment due to the nature of the contract, what is such a contract named?
A) Enforcement B) Unilateral legal transactions C) Bilateral transactions D) Unilateral contracts E) Bilateral contracts
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Question 13 13. Which one of the following
contract is an example of unilateral contract?
A) Deposit B) Contract of mandate C) Contract of sale D) Service contract E) Donation
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Question 14 14. Which one of the following is a
criminal sanction? A) Revocation of license B) Imprisonment C) Compensation D) Alimony E) Preventive detention
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Question 15 15. Which one of the following is a
branch of public law? A) Law of Persons B) Family Law C) Administrative Law D) Commercial Law E) Property Law
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Question 16 16. Which one of the following is not
a civil sanction? A) Absolutely Inoperativeness B) Nullity C) Compensation D) Imprisonment E) Void
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Question 17 17. Which one of the following is an
example of unilateral legal transaction?
A) Offer B) Contract of mandate C) Contract of sale D) Contract of suretyship E) Donation
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Question 18 18. Which one of the following is not
an example of unilateral legal transaction?
A) Offer B) Acceptance C) Writing a will D) Contract E) None of the above
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Question 19 19. What is the legal result of a land
sales contract not concluded before an authorized land registry office?
A) Absolutely Inoperativeness B) Nullity C) Valid D) Imprisonment E) Voidable
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Question 20 20. I. Mutual consent of the parties
(offer and acceptance)II. Legal capacity III. Legal
subject matter IV. Formalities in some cases. Which ones of the above-mentioned
elements are necessary to create a valid contract?
A) I, II and III B) I and IV C) II and III
D) II, IV E) All of the above
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Question 21 21. Which one of the following is not
an advantage of formalism? A) Reconsidering the
agreement. B) Official form requires the contribution
of a legal advisor. C) Formalism facilitates the process of
proof. D) It makes the acceptance of the third
parties easier. E) It is expensive for the parties
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Question 22 22. What is the legal consequences
of the non-observance of a prescribed form?
A) The contract is void B) The contract is voidable. C) The contract is valid. D) Law orders the conversion. E) None of the above.
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Question 23 23. The parties enter into a contract
want to create an appearance to third parties which they do not reflect their real intention.
What is the legal term for above mentioned situation?
A) Fictitious Transaction B) Voidable contract C) Valid contract D) Unserious declaration E) None of the above.
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Question 24 24. Which one of the following is not
an essential mistake? A) Mistake in motive B) Mistake as the nature of the contract C) Mistake as to the quantity D) Mistake as to the identity of the other
party E) Mistake as to the identity of subject
matter
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Question 25 25. The debtor sells his house to his
wife to save himself from the seizure of the creditors. Which one of the following term describe above mentioned illustration?
A) Donation B) Absolute Fictitious
Transaction C) Subsequent impossibility D) Relative Fictitious Transaction E) Mistake
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Question 25 25. According to Turkish Civil
Procedure Law, all kinds of monetary transactions over how much money can only be proved by a written document?
A) 500 TL B) 1000 TL C) 2500 TL D) 5000 TL E) 10000 TL