#1
Which of the following elements are essential for the formation of a legally binding contract?
All of the above
ExplanationOffer, acceptance, consideration, intention to create legal relations
#2
What is the legal term for a situation where one party fails to fulfill their contractual obligations?
Breach of contract
ExplanationFailure to perform duties as outlined in the contract
#3
Which type of contract is enforceable by law, but lacks a written agreement?
Implied contract
ExplanationContract inferred from the actions or conduct of the parties
#4
In contract law, what does 'consideration' refer to?
The exchange of something of value
ExplanationEach party must give something of value in exchange for the other's promise
#5
What is the doctrine of 'capacity' in contract law?
The legal ability of parties to enter into a contract
ExplanationEnsuring parties have legal competence to enter into a contract
#6
What is an 'offer' in the context of contract law?
A statement expressing an intent to enter into a contract on specified terms
ExplanationExpression of willingness to enter a contract under specific terms
#7
What is the doctrine of 'frustration' in contract law?
A situation where unforeseen circumstances make contract performance impossible
ExplanationExternal events making contract performance impossible or radically different
#8
What is the difference between a void contract and a voidable contract?
A void contract is unenforceable, while a voidable contract is enforceable.
ExplanationVoid contract is invalid from inception, voidable contract is valid but can be voided by one party
#9
What is the statute of frauds in contract law?
A statute that requires certain contracts to be in writing to be enforceable.
ExplanationLaw requiring specific contracts to be written to be enforceable
#10
Under what circumstances might a contract be considered unconscionable?
When the terms of the contract are extremely unfair or oppressive to one party.
ExplanationOne-sided terms that are grossly unfair or oppressive
#11
What is the doctrine of promissory estoppel in contract law?
A doctrine that prevents a party from going back on their promise if the other party has relied on it to their detriment.
ExplanationPreventing a party from retracting a promise if the other party relied on it to their detriment
#12
What is the difference between a bilateral contract and a unilateral contract?
In a bilateral contract, both parties exchange promises, while in a unilateral contract, only one party makes a promise.
ExplanationBoth parties make promises in bilateral; only one party makes a promise in unilateral