CBAD 344 Test 3 questions with verified
solutions rated A+
Definition of Contracts - correct answer ✔✔ An agreement between or among two or more parties
which is enforceable in court; each party is obligated to do something or refrain from doing something
now or in the future
Agreement: - correct answer ✔✔ One party offers to enter into a legal obligation and the other party
accepts those terms. (Offer and acceptance = agreement).
Consideration - correct answer ✔✔ Each party is obligated to do something of value for the other party.
Capacity - correct answer ✔✔ Age: Eighteen years old is the age at which an individual is considered
competent to enter into a valid contract. There are some exceptions to this rule.
Mental Condition: A person having a mental disability may not have the capacity to enter into a valid
contract.
Legality - correct answer ✔✔ An agreement which violates the law or is contrary to public policy is not
valid.
Genuine Assent - correct answer ✔✔ Both parties must evidence a serious willingness to be bound to
the terms of the agreement
Form - correct answer ✔✔ Some contracts must be in writing to be valid and enforceable.
Basic Requirements of a Contract - correct answer ✔✔ agreement, consideration, capacity, legality,
genuine assent, form
Types of Contacts - correct answer ✔✔ Written & Oral
, Oral Contracts - correct answer ✔✔ generally just as valid and enforceable as written ones; however, the
terms are harder to prove if you end up in court
Statutes of Fraud are - correct answer ✔✔ Contracts for the sale of real estate.
Contracts to be responsible for another's debt.
Contracts which take over one (1) year to complete.
Contracts of insurance.
Contracts for the sale of goods valued at over
$500,000. (This is a provision of the Uniform Commercial Code.)
Unilateral Contract - correct answer ✔✔ promise in exchange for an act
Bilateral Contract - correct answer ✔✔ promise for a promise
Express Contract - correct answer ✔✔ An express contract is one in which all the material terms of the
agreement are fully stated in words, either written or oral
Implied Contract - correct answer ✔✔ An implied contract is formed in whole or in part from conduct of
the parties as opposed to actual language
Quasi Contract - correct answer ✔✔ A fictional contract created by the court in the interest of fairness
and justice, usually to avoid the unjust enrichment of one party at the expense of another
Executed Contract - correct answer ✔✔ A contract that has been completely performed by both parties.
solutions rated A+
Definition of Contracts - correct answer ✔✔ An agreement between or among two or more parties
which is enforceable in court; each party is obligated to do something or refrain from doing something
now or in the future
Agreement: - correct answer ✔✔ One party offers to enter into a legal obligation and the other party
accepts those terms. (Offer and acceptance = agreement).
Consideration - correct answer ✔✔ Each party is obligated to do something of value for the other party.
Capacity - correct answer ✔✔ Age: Eighteen years old is the age at which an individual is considered
competent to enter into a valid contract. There are some exceptions to this rule.
Mental Condition: A person having a mental disability may not have the capacity to enter into a valid
contract.
Legality - correct answer ✔✔ An agreement which violates the law or is contrary to public policy is not
valid.
Genuine Assent - correct answer ✔✔ Both parties must evidence a serious willingness to be bound to
the terms of the agreement
Form - correct answer ✔✔ Some contracts must be in writing to be valid and enforceable.
Basic Requirements of a Contract - correct answer ✔✔ agreement, consideration, capacity, legality,
genuine assent, form
Types of Contacts - correct answer ✔✔ Written & Oral
, Oral Contracts - correct answer ✔✔ generally just as valid and enforceable as written ones; however, the
terms are harder to prove if you end up in court
Statutes of Fraud are - correct answer ✔✔ Contracts for the sale of real estate.
Contracts to be responsible for another's debt.
Contracts which take over one (1) year to complete.
Contracts of insurance.
Contracts for the sale of goods valued at over
$500,000. (This is a provision of the Uniform Commercial Code.)
Unilateral Contract - correct answer ✔✔ promise in exchange for an act
Bilateral Contract - correct answer ✔✔ promise for a promise
Express Contract - correct answer ✔✔ An express contract is one in which all the material terms of the
agreement are fully stated in words, either written or oral
Implied Contract - correct answer ✔✔ An implied contract is formed in whole or in part from conduct of
the parties as opposed to actual language
Quasi Contract - correct answer ✔✔ A fictional contract created by the court in the interest of fairness
and justice, usually to avoid the unjust enrichment of one party at the expense of another
Executed Contract - correct answer ✔✔ A contract that has been completely performed by both parties.
