Quiz on Genuine Agreement in Contracts

What is a genuine agreement in the context of contracts?

• An agreement to enter into a contract evidenced by words or conduct between the parties

• An agreement that is always written and signed

• An agreement that cannot be rescinded

• An agreement that is only verbal

Which of the following can cause a genuine agreement to be missing?

• Fraud, misrepresentation, undue influence, duress, or mistake

• Lack of witnesses

• Absence of a written document

• Verbal disagreements

What happens if there is an absence of a genuine agreement in a contract?

• The contract becomes voidable

• The contract is automatically enforced

• The contract is considered valid

• The contract cannot be challenged

What does it mean to rescind a contract?

• To back out of the contract and both parties return what they received

• To modify the terms of the contract

• To extend the duration of the contract

• To sign a new contract

When must rescission occur in relation to a contract?

• After the contract is ratified

• Before the contract is ratified

• At any time during the contract

• Only after a breach of contract

What does ratification of a contract imply?

• Conduct suggesting you intend to be bound by the contract

• Conduct suggesting you intend to terminate the contract

• Conduct suggesting you intend to modify the contract

• Conduct suggesting you intend to ignore the contract

What is duress in the context of legal agreements?

• A mutual agreement between parties

• An improper threat or act to obtain an expression of agreement

• A voluntary decision made by both parties

• A legal contract signed without any pressure

Which of the following is an example of duress?

• Offering a gift to sign a contract

• Threatening to commit a crime to force agreement

• Negotiating terms peacefully

• Signing a contract willingly

Duress may involve threats to which of the following?

• Only financial assets

• Life, liberty, or property

• Future business opportunities

• Employment status

What is extortion in the context of contract threats?

• Threat to report crimes to coerce a contract

• Threat to sue for unrelated purposes

• Economic threat to modify a contract

• Threat to disclose personal information