Bilateral Contract - ANSWER A type of contract that arises when a promise is given in exchange
for a return promise.
Unilateral Contract - ANSWER A contract in which only one party makes a promise or
undertakes the requested performance.
Promisor - ANSWER The party to a contract making a promise
Promisee - ANSWER The party to a contract to whom a promise is made.
Privity of contract - ANSWER The relationship that exists between the parties to a contract.
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.
Uniform Commercial Code - ANSWER A code of federal laws that govern commercial
transactions in the United States.
Express contract - ANSWER A contract whose terms and intentions are explicitly stated.
Implied contract - ANSWER A contract whose terms and intentions are indicated by the actions
of the parties to the contract and the surrounding circumstances.
, Implied-in-fact contract - ANSWER A contract that is not express but that the parties presumably
intended, either by tacit understanding or by the assumption that it existed.
Implied-in-law contract - ANSWER An obligation that is not an actual contract but that is
imposed by law because of the parties' conduct or some special relationship between them or
because one of them would otherwise be unjustly enriched.
Voidable contract - ANSWER A contract that one of the parties can reject (avoid) based on some
circumstance surrounding its execution.
Void contract - ANSWER An agreement that, despite the parties' intentions, never reaches
contract status and is therefore not legally enforceable or binding.
Statute of frauds - ANSWER A law to prevent fraud and perjury by requiring that certain
contracts be in writing and contain the signature of the party responsible for performing that
contract.
Undue influence - ANSWER The improper use of power or trust to deprive a person of free will
and substitute another's objective, resulting in lack of genuine assent to a contract.
Duress - ANSWER The use of restraint, violence, threats of violence, or wrongful pressure to
compel a party to act contrary to his or her wishes or interests.
Condition precedent - ANSWER An event that must occur before a duty of performance arises in
a contract.
Condition subsequent - ANSWER An event that, if it occurs, discharges a duty of performance in
a contract.
for a return promise.
Unilateral Contract - ANSWER A contract in which only one party makes a promise or
undertakes the requested performance.
Promisor - ANSWER The party to a contract making a promise
Promisee - ANSWER The party to a contract to whom a promise is made.
Privity of contract - ANSWER The relationship that exists between the parties to a contract.
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.
Uniform Commercial Code - ANSWER A code of federal laws that govern commercial
transactions in the United States.
Express contract - ANSWER A contract whose terms and intentions are explicitly stated.
Implied contract - ANSWER A contract whose terms and intentions are indicated by the actions
of the parties to the contract and the surrounding circumstances.
, Implied-in-fact contract - ANSWER A contract that is not express but that the parties presumably
intended, either by tacit understanding or by the assumption that it existed.
Implied-in-law contract - ANSWER An obligation that is not an actual contract but that is
imposed by law because of the parties' conduct or some special relationship between them or
because one of them would otherwise be unjustly enriched.
Voidable contract - ANSWER A contract that one of the parties can reject (avoid) based on some
circumstance surrounding its execution.
Void contract - ANSWER An agreement that, despite the parties' intentions, never reaches
contract status and is therefore not legally enforceable or binding.
Statute of frauds - ANSWER A law to prevent fraud and perjury by requiring that certain
contracts be in writing and contain the signature of the party responsible for performing that
contract.
Undue influence - ANSWER The improper use of power or trust to deprive a person of free will
and substitute another's objective, resulting in lack of genuine assent to a contract.
Duress - ANSWER The use of restraint, violence, threats of violence, or wrongful pressure to
compel a party to act contrary to his or her wishes or interests.
Condition precedent - ANSWER An event that must occur before a duty of performance arises in
a contract.
Condition subsequent - ANSWER An event that, if it occurs, discharges a duty of performance in
a contract.
