Contract Law Basics and Validity

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What is required for a contract to be legally enforceable?

Mutual agreement (correct)
Incompetent parties
Written document
Presence of force

Which status applies to contracts that meet all necessary criteria?

Valid but unenforceable
Void
Valid (correct)
Voidable

What type of contracts pertain to specific oral contracts that, if performed, cannot modify the outcome?

Valid but unenforceable (correct)
Void
Valid
Voidable

What does 'void' mean in terms of contract law?

Not valid or enforceable (A) Signup and view all the answers

What is required for a contract to be voidable?

Presence of coercion or fraud (A) Signup and view all the answers

Which is a requirement for competent parties in a contract?

Legal age and mental competency (C) Signup and view all the answers

What must accompany a clear and unequivocal offer and acceptance in a contract?

Meeting of the minds (C) Signup and view all the answers

'Valuable consideration' in a contract refers to:

$Exchange of value for performance$ (A) Signup and view all the answers

'Legal purpose' in a contract refers to:

$Promise, intent, and content must be lawful$ (B) Signup and view all the answers

'Voluntary good faith' in a contract ensures:

$Absence of coercion, fraud, or misrepresentation$ (A) Signup and view all the answers

What must a contract include according to the Statute of Frauds?

Legal description of the property being conveyed (C) Signup and view all the answers

Which term refers to an expressed intention to enter into a contract?

Offer (C) Signup and view all the answers

What type of contract includes all terms explicitly agreed upon by the parties?

Express contract (A) Signup and view all the answers

In a bilateral contract, how many parties promise to perform certain obligations?

Both parties (C) Signup and view all the answers

What happens in an executed contract?

All obligations have been fulfilled by both parties involved (C) Signup and view all the answers

Which legal remedy involves canceling the contract and returning any deposits made?

Rescission (D) Signup and view all the answers

What must an acceptance be in relation to an offer?

No changes made to the original offer (B) Signup and view all the answers

What does a unilateral contract involve?

One party agreeing to perform only if another party performs first or fulfills certain conditions specified in the agreement before performance takes place. (D) Signup and view all the answers

What is required for a contract to be considered voidable?

There should be no duress, coercion, fraud or misrepresentation (A) Signup and view all the answers

What does 'valuable consideration' refer to in a contract?

The exchange of valuable consideration for performance by the other party (D) Signup and view all the answers

What is necessary to ensure 'voluntary good faith' in a contract?

No duress, coercion, fraud or misrepresentation (C) Signup and view all the answers

In a contract, what does 'legal purpose' ensure?

The promise, intent, and content must be lawful (D) Signup and view all the answers

What makes a contract void?

Not valid or enforceable (D) Signup and view all the answers

What does 'competent parties' refer to in a contract?

Individuals who have reached the legal age and possess mental competency (C) Signup and view all the answers

'Mutual consent' in a contract involves:

A clear and unequivocal offer and acceptance with a meeting of the minds (A) Signup and view all the answers

'Requirements for Conveyance Contracts' specifies that:

'Legal purpose' must be ensured (B) Signup and view all the answers

'Status of Contracts: Valid but unenforceable' pertains to:

'Voidable' contracts if performed cannot modify the outcome (D) Signup and view all the answers

What is the key requirement for a contract to be legally enforceable?

Offer expressed intention to enter into a contract (B) Signup and view all the answers

Which type of contract may not be legally enforceable?

Oral vs. Written (D) Signup and view all the answers

What does specific performance involve in contract law?

Filing a legal suit to compel adherence to promised contractual obligations (C) Signup and view all the answers

In a bilateral contract, how do the parties promise to perform?

Certain obligations under the agreement (D) Signup and view all the answers

What is the key characteristic of an executed contract?

All obligations have been fulfilled and completed by both parties (C) Signup and view all the answers

What is the main consequence of rescission in contract law?

'Canceling' the contract and returning any deposits made (C) Signup and view all the answers

When does a unilateral contract occur?

One party agrees to perform only if another party performs first (A) Signup and view all the answers

What is the significance of valuable consideration in a contract?

'Forfeiting' something as per agreement terms (B) Signup and view all the answers

What does 'legal purpose' refer to in a contract?

Ensuring that the contract objective is lawful (D) Signup and view all the answers

Which party must communicate acceptance for revocation of an offer to occur?

The offeree's communication of acceptance must be received by the offeror. (C) Signup and view all the answers

What type of contract arises from one party's actions suggesting a mutual understanding to enter into a contractual relationship?

Implied contract (B) Signup and view all the answers

What is the main difference between an executed contract and an executory contract?

Whether all obligations have been completed (D) Signup and view all the answers

What legal remedy involves filing a civil lawsuit seeking financial compensation not covered by the original contract?

Suit for damages (D) Signup and view all the answers

When can an acceptance in a contract be considered unequivocal?

When it agrees exactly to the terms of the offer (D) Signup and view all the answers

What type of contract involves one party agreeing to perform only if another party fulfills certain conditions specified in the agreement before performance takes place?

Unilateral contract (D) Signup and view all the answers

What legal remedy involves canceling a contract and returning any deposits made?

Rescission (C) Signup and view all the answers

'Contract Assignment' allows assignment unless under what circumstances?

If expressly prohibited or personal service agreement (B) Signup and view all the answers

What is the key requirement for a contract to be considered void?

Legal purpose (C) Signup and view all the answers

Which term refers to a type of contract that may be rescinded due to subsequent discoveries?

Voidable (B) Signup and view all the answers

What ensures no duress, coercion, fraud, or misrepresentation in a contract?

Voluntary good faith (B) Signup and view all the answers

Which status applies to contracts that are valid but cannot be enforced?

Valid but unenforceable (A) Signup and view all the answers

What refers to the exchange of valuable consideration for performance in a contract?

Valuable consideration (C) Signup and view all the answers

In a bilateral contract, how many parties must have reached the legal age and possess mental competency?

Two parties (D) Signup and view all the answers

What does 'voluntary good faith' aim to prevent in a contract?

Duress and coercion (A) Signup and view all the answers

Which type of contract cannot be enforced by any court of law?

'Void' contract (B) Signup and view all the answers

'Mutual consent' in a contract involves:

'Meeting of the minds' (C) Signup and view all the answers

'Requirements for Conveyance Contracts' specifies that:

'Contracts must be documented in writing' (A) Signup and view all the answers

What is the main purpose of 'mutual consent' in a contract?

To guarantee a lawful promise (C) Signup and view all the answers

What does 'voidable' mean in terms of contract law?

The contract may be rescinded due to subsequent discoveries (B) Signup and view all the answers

Why is 'valuable consideration' essential in a contract?

To exchange value for performance (C) Signup and view all the answers

What does 'competent parties' in a contract refer to?

Parties who have reached the legal age and possess mental competency (A) Signup and view all the answers

Why must a contract have 'legal purpose'?

To guarantee lawful intent and content (B) Signup and view all the answers

In contract law, what does 'voluntary good faith' aim to prevent?

Fraud or misrepresentation (D) Signup and view all the answers

What is necessary for a contract to be considered 'valid'?

Mutual consent (D) Signup and view all the answers

Why is 'valuable consideration' vital in a contract?

To exchange something of value (C) Signup and view all the answers

What does 'void' mean concerning contracts?

Not valid or enforceable (A) Signup and view all the answers

Why is 'mutual consent' so crucial in contracts?

To establish a clear understanding between parties (B) Signup and view all the answers

What is the main consequence of forfeiture in contract law?

The party at fault must surrender something as per the terms mentioned in the agreement. (B) Signup and view all the answers

In a unilateral contract, when does performance take place?

After one party agrees to perform if certain conditions are met by another party. (D) Signup and view all the answers

What is the key characteristic of an executed contract?

All obligations have been fulfilled and completed by both parties involved. (A) Signup and view all the answers

When does a bilateral contract occur?

When both parties promise to perform certain obligations under the agreement. (D) Signup and view all the answers

What is the significance of liquidated damages in contract law?

Compensation is awarded to an aggrieved party as specified in the contract. (B) Signup and view all the answers

What type of contracts pertain to agreements where some duties remain unfulfilled?

Executory contracts (C) Signup and view all the answers

In a contract, what is 'specific performance' aimed at achieving?

Compelling adherence to promised contractual obligations. (B) Signup and view all the answers

'Express vs. Implied' contracts differ in that:

An express contract includes all terms explicitly agreed upon, while an implied contract arises without intentional agreement. (B) Signup and view all the answers

'Voiding an Offer' can occur:

At any point before offeree's communication of acceptance. (D) Signup and view all the answers

What does an executed contract signify?

It indicates fulfillment of all obligations by both parties involved. (A) Signup and view all the answers

Contract Law Basics and Validity

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Questions and Answers

What is required for a contract to be legally enforceable?

Which status applies to contracts that meet all necessary criteria?

What type of contracts pertain to specific oral contracts that, if performed, cannot modify the outcome?

What does 'void' mean in terms of contract law?

What is required for a contract to be voidable?

Which is a requirement for competent parties in a contract?

What must accompany a clear and unequivocal offer and acceptance in a contract?

'Valuable consideration' in a contract refers to:

'Legal purpose' in a contract refers to:

'Voluntary good faith' in a contract ensures:

What must a contract include according to the Statute of Frauds?

Which term refers to an expressed intention to enter into a contract?

What type of contract includes all terms explicitly agreed upon by the parties?

In a bilateral contract, how many parties promise to perform certain obligations?

What happens in an executed contract?

Which legal remedy involves canceling the contract and returning any deposits made?

What must an acceptance be in relation to an offer?

What does a unilateral contract involve?

What is required for a contract to be considered voidable?

What does 'valuable consideration' refer to in a contract?

What is necessary to ensure 'voluntary good faith' in a contract?

In a contract, what does 'legal purpose' ensure?

What makes a contract void?

What does 'competent parties' refer to in a contract?

'Mutual consent' in a contract involves:

'Requirements for Conveyance Contracts' specifies that:

'Status of Contracts: Valid but unenforceable' pertains to:

What is the key requirement for a contract to be legally enforceable?

Which type of contract may not be legally enforceable?

What does specific performance involve in contract law?

In a bilateral contract, how do the parties promise to perform?

What is the key characteristic of an executed contract?

What is the main consequence of rescission in contract law?

When does a unilateral contract occur?

What is the significance of valuable consideration in a contract?

What does 'legal purpose' refer to in a contract?

Which party must communicate acceptance for revocation of an offer to occur?

What type of contract arises from one party's actions suggesting a mutual understanding to enter into a contractual relationship?

What is the main difference between an executed contract and an executory contract?

What legal remedy involves filing a civil lawsuit seeking financial compensation not covered by the original contract?

When can an acceptance in a contract be considered unequivocal?

What type of contract involves one party agreeing to perform only if another party fulfills certain conditions specified in the agreement before performance takes place?

What legal remedy involves canceling a contract and returning any deposits made?

'Contract Assignment' allows assignment unless under what circumstances?

What is the key requirement for a contract to be considered void?

Which term refers to a type of contract that may be rescinded due to subsequent discoveries?

What ensures no duress, coercion, fraud, or misrepresentation in a contract?

Which status applies to contracts that are valid but cannot be enforced?

What refers to the exchange of valuable consideration for performance in a contract?

In a bilateral contract, how many parties must have reached the legal age and possess mental competency?

What does 'voluntary good faith' aim to prevent in a contract?

Which type of contract cannot be enforced by any court of law?

'Mutual consent' in a contract involves:

'Requirements for Conveyance Contracts' specifies that:

What is the main purpose of 'mutual consent' in a contract?

What does 'voidable' mean in terms of contract law?

Why is 'valuable consideration' essential in a contract?

What does 'competent parties' in a contract refer to?

Why must a contract have 'legal purpose'?

In contract law, what does 'voluntary good faith' aim to prevent?

What is necessary for a contract to be considered 'valid'?

Why is 'valuable consideration' vital in a contract?

What does 'void' mean concerning contracts?

Why is 'mutual consent' so crucial in contracts?

What is the main consequence of forfeiture in contract law?

In a unilateral contract, when does performance take place?

What is the key characteristic of an executed contract?

When does a bilateral contract occur?

What is the significance of liquidated damages in contract law?

What type of contracts pertain to agreements where some duties remain unfulfilled?

In a contract, what is 'specific performance' aimed at achieving?

'Express vs. Implied' contracts differ in that:

'Voiding an Offer' can occur:

What does an executed contract signify?

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