Unit 7 Quiz

Performance of a contract may be excused if a party can prove which of the following? (a)Impracticability of performance (b)A better deal elsewhere (c)Novation (d)Lack of negotiating skill

(a)Impracticability of performance

A contract that is a promise for a promise is known as a: (a)bilateral contract. (b)voidable contract. (c)unilateral contract. (d)void contract.

(a)bilateral contract.

A contract that has no legal effect from its inception is a: (a)void contract. (b)voidable contract. (c)quasi contract. (d)valid contract.

(a)void contract.

The typical real estate purchase agreement is: (a)a unilateral contract. (b)a bilateral contract. (c)an implied contract (d)a voidable contract.

(b)a bilateral contract.

To be enforceable, a real estate sales agreement must: (a)contain a granting clause. (b)be in writing. (c)be acknowledged. (d)be recorded.

(b)be in writing.

Both parties agree to cancel a contract in the process: (a)release. (b)rescission. (c)novation. (d)reformation.

(b)rescission.

Which of the following is NOT a way to terminate a contract? (a)Rescission (b)Release (c)Verification (d)Novation

(c)Verification

When both parties in contract agree to substitute a new agreement for the present one, this is known as a: (a)release. (b)rescission. (c)novation. (d)breach.

(c)novation.

Failure to perform a contract obligation is known as a: (a)release. (b)rescission. (c)novation. (d)breach.

(d)breach.

A contract that has yet to be performed is known as an: (a)executed contract. (b)express contract. (c)implied contract. (d)executory contract.

(d)executory contract.