AIC 301 Study Guide 2024/2025 Exam
Questions and Verified Answers |
Already Graded A+
contract - 🧠ANSWER ✔✔a legally enforceable agreement between 2 or
more parties
agreements - 🧠ANSWER ✔✔not all __________________ are legally
binding contracts
1) agreement
2) capacity
3) mutual assent
4) consideration
5) legal purpose
6) form required by law - 🧠ANSWER ✔✔6 elements of a legally binding
contract
promisor - 🧠ANSWER ✔✔party making a promise
COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. 1
PRIVACY STATEMENT. ALL RIGHTS RESERVED
,promisee - 🧠ANSWER ✔✔party to whom a promise is made
privity of contract - 🧠ANSWER ✔✔the relationship that exists between 2
parties to a contract
privity - 🧠ANSWER ✔✔a party cannot sue for breach of contract without
being in ______________ of contract with the other party
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
breach of contract - 🧠ANSWER ✔✔the failure without legal excuse, to fulfill
a contractual promise
agreement - 🧠ANSWER ✔✔must include an offer and its acceptance
offeror - 🧠ANSWER ✔✔party making the offer
offeree - 🧠ANSWER ✔✔party who makes a promise or acts in return for
something offered by another party
definite - 🧠ANSWER ✔✔offers must include _____________ terms and be
communicated to and received by the offeree
COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. 2
PRIVACY STATEMENT. ALL RIGHTS RESERVED
,counteroffer - 🧠ANSWER ✔✔if the offeree requests changes to conditions
of the offer
mentally competent - 🧠ANSWER ✔✔all parties must be ______________
_________________ for a contract to be legally binding
mutual assent - 🧠ANSWER ✔✔the act of 2 or more parties deliberately
negotiating all terms to achieve consensus
consideration - 🧠ANSWER ✔✔something of value that is given in return for
a promise
legal purpose - 🧠ANSWER ✔✔a contract must serve a legal purpose to be
legally enforceable
form required by law - 🧠ANSWER ✔✔contracts must be in a proper, legally
stipulated form to be binding
1) sale of real estate
2) agreements that can't be performed within 1 year
3) transactions > $500
4) agreements to pay a debt owed - 🧠ANSWER ✔✔4 examples of
contracts that have to be in writing
COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. 3
PRIVACY STATEMENT. ALL RIGHTS RESERVED
, bilateral contract - 🧠ANSWER ✔✔a contract where each party promises to
perform an act in exchange for an act by the other party
unilateral contract - 🧠ANSWER ✔✔a contract where one party promises to
pay for the act of the other party
executed contract - 🧠ANSWER ✔✔contract where nothing more is required
of either party to be fulfilled
executory contract - 🧠ANSWER ✔✔a contract that hasn't been fully
executed
express contract - 🧠ANSWER ✔✔contract where terms and intentions are
clearly stated
implied contract - 🧠ANSWER ✔✔contract where terms and intentions are
indicated by the actions of the parties to the contract and the surrounding
circumstances
implied-in-fact contracts - 🧠ANSWER ✔✔parties presumably intended,
either by tacit understanding or by the assumption that it already existed
implied-in-law contracts - 🧠ANSWER ✔✔an obligation that is not an actual
contract but that is imposed by law because of the parties' conduct or some
COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. 4
PRIVACY STATEMENT. ALL RIGHTS RESERVED
Questions and Verified Answers |
Already Graded A+
contract - 🧠ANSWER ✔✔a legally enforceable agreement between 2 or
more parties
agreements - 🧠ANSWER ✔✔not all __________________ are legally
binding contracts
1) agreement
2) capacity
3) mutual assent
4) consideration
5) legal purpose
6) form required by law - 🧠ANSWER ✔✔6 elements of a legally binding
contract
promisor - 🧠ANSWER ✔✔party making a promise
COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. 1
PRIVACY STATEMENT. ALL RIGHTS RESERVED
,promisee - 🧠ANSWER ✔✔party to whom a promise is made
privity of contract - 🧠ANSWER ✔✔the relationship that exists between 2
parties to a contract
privity - 🧠ANSWER ✔✔a party cannot sue for breach of contract without
being in ______________ of contract with the other party
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
breach of contract - 🧠ANSWER ✔✔the failure without legal excuse, to fulfill
a contractual promise
agreement - 🧠ANSWER ✔✔must include an offer and its acceptance
offeror - 🧠ANSWER ✔✔party making the offer
offeree - 🧠ANSWER ✔✔party who makes a promise or acts in return for
something offered by another party
definite - 🧠ANSWER ✔✔offers must include _____________ terms and be
communicated to and received by the offeree
COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. 2
PRIVACY STATEMENT. ALL RIGHTS RESERVED
,counteroffer - 🧠ANSWER ✔✔if the offeree requests changes to conditions
of the offer
mentally competent - 🧠ANSWER ✔✔all parties must be ______________
_________________ for a contract to be legally binding
mutual assent - 🧠ANSWER ✔✔the act of 2 or more parties deliberately
negotiating all terms to achieve consensus
consideration - 🧠ANSWER ✔✔something of value that is given in return for
a promise
legal purpose - 🧠ANSWER ✔✔a contract must serve a legal purpose to be
legally enforceable
form required by law - 🧠ANSWER ✔✔contracts must be in a proper, legally
stipulated form to be binding
1) sale of real estate
2) agreements that can't be performed within 1 year
3) transactions > $500
4) agreements to pay a debt owed - 🧠ANSWER ✔✔4 examples of
contracts that have to be in writing
COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. 3
PRIVACY STATEMENT. ALL RIGHTS RESERVED
, bilateral contract - 🧠ANSWER ✔✔a contract where each party promises to
perform an act in exchange for an act by the other party
unilateral contract - 🧠ANSWER ✔✔a contract where one party promises to
pay for the act of the other party
executed contract - 🧠ANSWER ✔✔contract where nothing more is required
of either party to be fulfilled
executory contract - 🧠ANSWER ✔✔a contract that hasn't been fully
executed
express contract - 🧠ANSWER ✔✔contract where terms and intentions are
clearly stated
implied contract - 🧠ANSWER ✔✔contract where terms and intentions are
indicated by the actions of the parties to the contract and the surrounding
circumstances
implied-in-fact contracts - 🧠ANSWER ✔✔parties presumably intended,
either by tacit understanding or by the assumption that it already existed
implied-in-law contracts - 🧠ANSWER ✔✔an obligation that is not an actual
contract but that is imposed by law because of the parties' conduct or some
COPYRIGHT©PROFFKERRYMARTIN 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. 4
PRIVACY STATEMENT. ALL RIGHTS RESERVED
