CONTRACT LAW EXAMINATION QUESTIONS AND
CORRECT ANSWER WITH EXPLANATION GRADED A+
STUDY GUIDE SOUTHERNNEW HAMPSHIRE UNIVERSITY
1.
What is contract law?
A. Law about crimes
B. Law governing agreements between parties
C. Sports rules
D. Constitutional rules only
Correct Answer: B. Law governing agreements between parties
Rationale: Contract law regulates enforceable promises.
2.
What is a contract?
A. Casual promise
B. Legally binding agreement
C. Opinion
D. Moral obligation only
Correct Answer: B. Legally binding agreement
Rationale: A contract creates enforceable duties.
3.
What is offer?
A. Acceptance
B. Proposal to enter into a contract
C. Judgment
D. Breach
,Correct Answer: B. Proposal to enter into a contract
Rationale: Offer initiates agreement.
4.
What is acceptance?
A. Rejection
B. Agreement to terms of offer
C. Breach
D. Termination
Correct Answer: B. Agreement to terms of offer
Rationale: Acceptance forms agreement.
5.
What is consideration?
A. Gift only
B. Something of value exchanged between parties
C. Court order
D. Crime
Correct Answer: B. Something of value exchanged between parties
Rationale: Consideration makes contract binding.
6.
What is intention to create legal relations?
A. Social agreement only
B. Desire for legal enforceability
C. Moral promise
D. Religious promise
Correct Answer: B. Desire for legal enforceability
Rationale: Parties must intend legal effect.
, 7.
What is capacity?
A. Strength
B. Legal ability to contract
C. Speed
D. Opinion
Correct Answer: B. Legal ability to contract
Rationale: Parties must be legally competent.
8.
Who is a minor in contract law?
A. Adult
B. Person under legal age
C. Judge
D. Lawyer
Correct Answer: B. Person under legal age
Rationale: Minors have limited capacity.
9.
What is free consent?
A. Forced agreement
B. Voluntary agreement without coercion
C. Fraud
D. Mistake only
Correct Answer: B. Voluntary agreement without coercion
Rationale: Consent must be genuine.
10.
What is coercion?
CORRECT ANSWER WITH EXPLANATION GRADED A+
STUDY GUIDE SOUTHERNNEW HAMPSHIRE UNIVERSITY
1.
What is contract law?
A. Law about crimes
B. Law governing agreements between parties
C. Sports rules
D. Constitutional rules only
Correct Answer: B. Law governing agreements between parties
Rationale: Contract law regulates enforceable promises.
2.
What is a contract?
A. Casual promise
B. Legally binding agreement
C. Opinion
D. Moral obligation only
Correct Answer: B. Legally binding agreement
Rationale: A contract creates enforceable duties.
3.
What is offer?
A. Acceptance
B. Proposal to enter into a contract
C. Judgment
D. Breach
,Correct Answer: B. Proposal to enter into a contract
Rationale: Offer initiates agreement.
4.
What is acceptance?
A. Rejection
B. Agreement to terms of offer
C. Breach
D. Termination
Correct Answer: B. Agreement to terms of offer
Rationale: Acceptance forms agreement.
5.
What is consideration?
A. Gift only
B. Something of value exchanged between parties
C. Court order
D. Crime
Correct Answer: B. Something of value exchanged between parties
Rationale: Consideration makes contract binding.
6.
What is intention to create legal relations?
A. Social agreement only
B. Desire for legal enforceability
C. Moral promise
D. Religious promise
Correct Answer: B. Desire for legal enforceability
Rationale: Parties must intend legal effect.
, 7.
What is capacity?
A. Strength
B. Legal ability to contract
C. Speed
D. Opinion
Correct Answer: B. Legal ability to contract
Rationale: Parties must be legally competent.
8.
Who is a minor in contract law?
A. Adult
B. Person under legal age
C. Judge
D. Lawyer
Correct Answer: B. Person under legal age
Rationale: Minors have limited capacity.
9.
What is free consent?
A. Forced agreement
B. Voluntary agreement without coercion
C. Fraud
D. Mistake only
Correct Answer: B. Voluntary agreement without coercion
Rationale: Consent must be genuine.
10.
What is coercion?
