Contract Law

What types of contracts are always established by parties' actions rather than a written document or explicit discussion?

• express

• implied

• unilateral

• executory

What is the term used to describe the discharge of contracts due to the effort or action of at least one of the parties to the contract?

• force of law

• discharge of the parties

• operation of law

• acts of the parties

Which of the following statements is NEVER true about void contracts?

• They might require or involve an illegal act

• They can be completed if the parties choose to

• They might be lacking one or more essential elements of a valid contract

• Sometimes they cannot be completed due to an operation of law or act of God

Two years into his contract to coach Jerry's semi-pro football team, Jimmy choked on a cream cheese bagel and died. Jimmy's estate is not obligated to perform according to the terms and conditions of Jimmy and Jerry's contract. Why?

• Death or incapacity relieves a party from contractual obligations in personal services contracts

• Death or incapacity relieves a party from contractual obligations only if the surviving party agrees

• Death or incapacity relieves a party from contractual obligations regardless of the type of contract

• Death or incapacity relieves a party from contractual obligations in all bilateral contracts.

Which of these is a contract that has been fully performed (both sides have completed their obligations)?

• executed contract

• void contract

• voidable contract

• executory contract

What type of contract has no legal effect?

• bilateral contract

• unilateral contract

• void contract

• voidable contract

An offer can be withdrawn any time:

• prior to the proper communication of the offer's acceptance

• after the proper communication of the offer's acceptance

• none of the answer choices are correct

• prior to or after the proper communication of the offer's acceptance

From the moment a purchase agreement is signed, until closing on the property occurs, the contract is:

• executory

• unenforceable

• executed

• redeemable

The forfeiture of earnest money is a common example of:

• the contractually stipulated payment of liquidated damages

• the contractually stipulated payment of compensatory damages

• The payment of damages not stipulated by contract

• the contractually stipulated payment of punitive damages

When something regarding the contract lacks legal standing or purpose or is unlawful in some way, it is said to suffer from:

• ambiguous language

• ill intent

• lack of legal element

• equitable resolution