nature of contracts

The subject matter of a contract may relate to: the performance of personal services. the construction of a house. the transfer of ownership of property. all of the above.

all of the above

The elements of a contract include all of the following except: an agreement. two or more competent parties. consideration. an illegal purpose.

an illegal purpose

The promisor in a contract agreement also may be called the: obligor. promoter. promotor. grantor.

obligor

An offer of a reward for the arrest and conviction of a criminal is an example of: a unilateral contract. a bilateral contract. a quasi contract. a formal contract.

a unilateral contract

An implied contract is shown by: a writing. acts of the parties. statements made in open court. oral promises exchanged for oral promises.

acts of the parties.

A contract is: a binding agreement. an agreement creating an obligation. an agreement that creates enforceable duties and obligations. all of the above.

all of the above

A party to a contract may be: an individual. a partnership. a corporation. all of the above.

all of the above

A contract that has been set aside is said to have been: voided. canceled. executed. avoided.

avoided

To have a contract you must have: an offer. an acceptance. both an offer and an acceptance. an agreement manifested by the written or spoken words of the parties.

both an offer and an acceptance

An executory contract is: void if neither party has performed. voidable. entered into but not fully performed. always unilateral in nature.

entered into but not fully performed.

A recognizance is an agreement by which one party admits or recognizes that a specified sum of money is owed to another party.

false

A voidable contract is one that is otherwise valid but may be rejected or set aside by one of the parties.

false

An express contract is one in which the agreement is shown by acts and conduct of the parties.

false

An offer may be made only to a specific person.

false

Contracts for amounts more than $1 million must be made under seal or they are not binding.

false

Only the parties who signed the original contract can have rights with respect to that contract.

false

The effect of an implied contract is not the same as the effect of an express contract.

false

When a contract is fully performed by one party, it is called a unilateral contract.

false

Negotiable instruments are: formal contracts. informal contracts. option contracts. first-refusal agreements.

formal contracts

A legally binding agreement that can be rejected at the option of one of the parties is called a(n): void agreement. revoked contract. voidable contract. optional agreement.

optional agreement

The main thrust of the quasi contract is to: encourage the making of written contracts. prevent enrichment. compensate those who voluntarily help others. prevent unjust enrichment.

prevent unjust enrichment

A bilateral contract consists of a: promise for an act. promise for refraining from acting. promise for a promise. promise to contract

promise for a promise

The plaintiff in a quasi-contractual action can recover: lost profits. damages for mental distress. the reasonable value of the benefit conferred upon the defendant. for all the damages sustained.

the reasonable value of the benefit conferred upon the defendant

A bilateral contract is essentially an exchange of promises.

true

A quasi contract may arise in a situation in which no contract exists.

true

An executed contract results from the complete performance by all parties of the contract.

true

An executory contract has been entered into but not yet fully performed.

true

An offerer makes an offer to an offeree.

true

An option contract gives one of the parties an absolute right to enter into a second contract at a later date.

true

Implied-in-fact contracts and implied-in-law contracts are essentially the same.

true