AIC 301 COMPLETE STUDY GUIDE
QUESTIONS AND VERIFIED ANSWERS
●● Who is the promisor?
Answer: The party to a contract making a promise.
●● Who is the promisee?
Answer: The party to a contract to whom a promise is made.
●● What is privity of contract?
Answer: The relationship that exists between the parties to a contract.
●● Who is a third-party beneficiary?
Answer: A person who is not a party to a contract but who benefits from
it and has a legal right to enforce the contract if it is breached by either
of the contracting parties.
●● What is a breach of contract?
Answer: The failure, without legal excuse, to fulfill a contractual
promise.
●● Who is the offeror?
,Answer: The party to a contract who promises to give something in
return for a promise or an act by another party.
●● Who is the offeree?
Answer: The party to a contract who makes a promise or acts in return
for something offered by another party.
●● What is the Uniform Commercial Code?
Answer: A code of laws that govern commercial transactions in the
United States.
●● What is a bilateral contract?
Answer: A contract in which each party promises a performance.
●● What is a unilateral contract?
Answer: A contract in which only one party makes a promise or
undertakes the requested performance.
●● What is an executed contract?
Answer: A contract that has been completely performed by both parties.
●● What is an executory contract?
, Answer: A contract that has not been completely performed by one or
both of the parties.
●● What is an express contract?
Answer: A contract whose terms and intentions are explicitly stated.
●● What is the definition of Uniform Commercial Code?
Answer: A model code that provides a consistent legal basis for business
transactions.
●● What is the definition of Parol evidence rule?
Answer: A provision that prevents contract modification by oral
agreements.
●● What is the definition of Statute of frauds?
Answer: A law requiring certain contracts to be in writing.
●● What is the definition of Real property (realty)?
Answer: Tangible property consisting of land and attached structures.
●● What is the definition of Assignment?
Answer: The transfer of rights or property.
QUESTIONS AND VERIFIED ANSWERS
●● Who is the promisor?
Answer: The party to a contract making a promise.
●● Who is the promisee?
Answer: The party to a contract to whom a promise is made.
●● What is privity of contract?
Answer: The relationship that exists between the parties to a contract.
●● Who is a third-party beneficiary?
Answer: A person who is not a party to a contract but who benefits from
it and has a legal right to enforce the contract if it is breached by either
of the contracting parties.
●● What is a breach of contract?
Answer: The failure, without legal excuse, to fulfill a contractual
promise.
●● Who is the offeror?
,Answer: The party to a contract who promises to give something in
return for a promise or an act by another party.
●● Who is the offeree?
Answer: The party to a contract who makes a promise or acts in return
for something offered by another party.
●● What is the Uniform Commercial Code?
Answer: A code of laws that govern commercial transactions in the
United States.
●● What is a bilateral contract?
Answer: A contract in which each party promises a performance.
●● What is a unilateral contract?
Answer: A contract in which only one party makes a promise or
undertakes the requested performance.
●● What is an executed contract?
Answer: A contract that has been completely performed by both parties.
●● What is an executory contract?
, Answer: A contract that has not been completely performed by one or
both of the parties.
●● What is an express contract?
Answer: A contract whose terms and intentions are explicitly stated.
●● What is the definition of Uniform Commercial Code?
Answer: A model code that provides a consistent legal basis for business
transactions.
●● What is the definition of Parol evidence rule?
Answer: A provision that prevents contract modification by oral
agreements.
●● What is the definition of Statute of frauds?
Answer: A law requiring certain contracts to be in writing.
●● What is the definition of Real property (realty)?
Answer: Tangible property consisting of land and attached structures.
●● What is the definition of Assignment?
Answer: The transfer of rights or property.
