Study guide for 302 Post licensing test
offer - ANSWhen the prospective buyer signs the completed form and its is delivered to seller
enforced contract - ANSa promise or a set of promises which the law will enforce
consideration - ANSmutual exchange of promises
capacity - ANSlack of legal mental capacity
4 things essential elements of a contract - ANS1. C onsideration
2. L egal Act
3. A gree mutually
4. P arties competent CLAP
void vs voidable - ANSvoid, a contract that lacks an element or never existed
voidable, a contract that one party has the right to void usually based on a lack of capacity.
Is due diligence a bilateral or unilateral contract? - ANSunilateral contract
Executed contract - ANSall tasks performed
Executory contract - ANStask remaining to be done
Express contract - ANSintentions stated
implied contract - ANSinferred from conduct (actions)
DREAM OIL - ANSdeed, restrictive covenants, easements, assignments, mortgages, options,
installment land contracts, leases (longer than 3 years), sales contracts.
counteroffer ____________ the original offer. - ANSvoids
valid contract is formed when: (3) - ANS1. signed
2. initialed
3. communicated
Bilateral contract - ANSboth parties must agree and both parties can terminate.
or - ANSgiver
ee - ANSreceiver
offer - ANSWhen the prospective buyer signs the completed form and its is delivered to seller
enforced contract - ANSa promise or a set of promises which the law will enforce
consideration - ANSmutual exchange of promises
capacity - ANSlack of legal mental capacity
4 things essential elements of a contract - ANS1. C onsideration
2. L egal Act
3. A gree mutually
4. P arties competent CLAP
void vs voidable - ANSvoid, a contract that lacks an element or never existed
voidable, a contract that one party has the right to void usually based on a lack of capacity.
Is due diligence a bilateral or unilateral contract? - ANSunilateral contract
Executed contract - ANSall tasks performed
Executory contract - ANStask remaining to be done
Express contract - ANSintentions stated
implied contract - ANSinferred from conduct (actions)
DREAM OIL - ANSdeed, restrictive covenants, easements, assignments, mortgages, options,
installment land contracts, leases (longer than 3 years), sales contracts.
counteroffer ____________ the original offer. - ANSvoids
valid contract is formed when: (3) - ANS1. signed
2. initialed
3. communicated
Bilateral contract - ANSboth parties must agree and both parties can terminate.
or - ANSgiver
ee - ANSreceiver
