Test Bank For Anderson's Business Law and the Legal
Environment, Standard Volume, 23rd Edition By David
P. Twomey
Bilateral Contract - ANSWER: An agreement under which one promise is given in
exchange for another
Contract - ANSWER: A binding agreement based on the genuine assent of the
parties, made for a lawful object, between competent parties, in the form required
by law, and generally supported by consideration
Contract Under Seal - ANSWER: A contract executed by affixing a seal or making an
impression on the paper or on some adhering substance such as wax attached to the
document
Executed Contract - ANSWER: An agreement that has been completely performed
Executory Contract - ANSWER: An agreement by which something remains to be
done by one or both parties
Express Contract - ANSWER: An agreement of the parties manifested by their words,
whether spoken or written
Formal Contract - ANSWER: A written contract or agreement whose formality
signifies the parties' intention to abide by the terms, i.e. Contracts under Seal,
Contracts of Record (recognizance), or negotiable instruments
Implied Contract - ANSWER: A contract expressed by conduct or implied or deduced
from the facts
Informal Contract - ANSWER: A simple oral or written contract
Obligee - ANSWER: A promisee who can claim the benefit of the obligation
Obligor - ANSWER: A promisor
Offerer - ANSWER: A person who makes an offer
Offeree - ANSWER: A person to whom an offer is made
Option Contract - ANSWER: A contract to hold an offer to make a contract open for a
fixed period of time
Privity - ANSWER: The succession or chain of relationship to the same thing or right,
such as privity of contract, privity of estate, privity of possession
Environment, Standard Volume, 23rd Edition By David
P. Twomey
Bilateral Contract - ANSWER: An agreement under which one promise is given in
exchange for another
Contract - ANSWER: A binding agreement based on the genuine assent of the
parties, made for a lawful object, between competent parties, in the form required
by law, and generally supported by consideration
Contract Under Seal - ANSWER: A contract executed by affixing a seal or making an
impression on the paper or on some adhering substance such as wax attached to the
document
Executed Contract - ANSWER: An agreement that has been completely performed
Executory Contract - ANSWER: An agreement by which something remains to be
done by one or both parties
Express Contract - ANSWER: An agreement of the parties manifested by their words,
whether spoken or written
Formal Contract - ANSWER: A written contract or agreement whose formality
signifies the parties' intention to abide by the terms, i.e. Contracts under Seal,
Contracts of Record (recognizance), or negotiable instruments
Implied Contract - ANSWER: A contract expressed by conduct or implied or deduced
from the facts
Informal Contract - ANSWER: A simple oral or written contract
Obligee - ANSWER: A promisee who can claim the benefit of the obligation
Obligor - ANSWER: A promisor
Offerer - ANSWER: A person who makes an offer
Offeree - ANSWER: A person to whom an offer is made
Option Contract - ANSWER: A contract to hold an offer to make a contract open for a
fixed period of time
Privity - ANSWER: The succession or chain of relationship to the same thing or right,
such as privity of contract, privity of estate, privity of possession
