Legal Aspects of a Business: Contracts

Which word is defined as the situation “where one party fails to carry out or fulfill what was

promised under the terms of a contract”?

• Breach

• Defiance

• Infringement

• Disobedience

Which word is described as “recognition within the law as having the ability to enter into a

binding contract”?

• fitness

• aptitude

• capacity

• competence

Which word means “termination; that is, a contract coming to an end”?

• duress

• closure

• discharge

• conclusion

Which word is defined as “an oral or written agreement between two or more parties that is

legally binding and enforceable by law”?

• contract

• agreement

• acceptance

• consideration

When a person entering into a contract agrees to do so in return for a particular promise or performance, this promise or performance is referred to as:

• discharge

• termination

• consideration

• specialty contract

Which of the following are features of a simple contract?

• offer, seal and acceptance

• legality, offer and consideration

• offer, acceptance and consideration

• acceptance, insurance and

  consideration

When does an ‘offer’ become legally enforceable? When it:

• is accepted.

• appears to be fair.

• is set out in a clear way.

• is promised to the offeree.

Marianna went to a store in Tobago and saw a display of electronic items with price tags placed

on them. How is this described? As an:

• offer

• agreement

• original contract

• invitation to treat

Joel decided to sell a piece of land in Trinidad and was required to get a deed for the sale of

the land. What is this transaction an example of?

• closed contract

• record contract

• simple contract

• specialty contract

Speciality contracts should be:

• verbal

• written

• spoken

• performed