Business Law: Chapter 10 Legal Purpose & Proper Form

Agreements to commit felonies are not illegal

• True
• False

In most states, lenders of money may not charge more than a specified maximum rate of interest.

• True
• False

All states setting the same set rate of interest would be considered usurious and illegal.

• True
• False

Small loan rates of interest typically exceed the usurious rates, yet they are legal.

• True
• False

Compounding a crime means committing two or more distinct crimes against the victim, such as robbery, battery, and kidnapping.

• True
• False

An oral agreement to sell a house is bound by the down payment of the buyer.

• True
• False

Valid contracts may be oral, written, implied from conduct or some combination of these unless otherwise required by law.

• True
• False

A contract is said to be within the Statute of Frauds if it is required to be in writing.

• True
• False

An executory contract in violation of the Statute of Frauds is an illegal contract.

• True
• False

A quasi-contract exists when some element of an enforceable contract has unjustly enriched one of the parties in excess of four times its worth.

• True
• False