Contract Law Fundamentals
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Questions and Answers

Which type of contract involves a promise made by only one party?

  • Unilateral Contract (correct)
  • Commercial Bargain
  • Social Agreement
  • Bilateral Contract
  • What is the legal relationship that exists between parties to an agreement, where they acquire personal rights against each other?

  • Contract
  • Delict
  • Obligation (correct)
  • Agreement
  • What is the key difference between a contract and an agreement?

  • Intention of the parties (correct)
  • Duration of the agreement
  • Number of parties involved
  • Types of benefits gained
  • Who is entitled to take action to enforce a contract?

    <p>Only persons who are parties to a contract</p> Signup and view all the answers

    What is an example of an agreement that is not a contract?

    <p>A social appointment between friends</p> Signup and view all the answers

    What is the primary function of contract law in business transactions?

    <p>To create legally enforceable obligations between parties</p> Signup and view all the answers

    What is the fundamental principle of contract law that allows parties to create their own rights and duties?

    <p>Doctrine of Privity</p> Signup and view all the answers

    What is the minimum number of persons required to form a valid contract?

    <p>Two persons</p> Signup and view all the answers

    Why is contract law an important area of business law?

    <p>It represents the foundation of most commercial activities</p> Signup and view all the answers

    In what capacity can Mr. Malcolm enter into a contract with ABC company if he owns the house to be rented?

    <p>As a General Manager and a landlord</p> Signup and view all the answers

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