#1
Which legal concept refers to an agreement made between two or more parties?
Contract
ExplanationAn agreement between parties.
#2
What is the primary purpose of including 'consideration' in a contract?
To provide a means of enforcement
ExplanationEnforcement mechanism in contracts.
#3
Which type of contract involves the exchange of promises to perform acts in the future?
Bilateral contract
ExplanationMutual promise exchange.
#4
What is the legal term for a contract in which one party fails to fulfill their obligations under the agreement?
Breach of contract
ExplanationFailure to meet contract obligations.
#5
Which type of contract involves the transfer of ownership of goods or services in exchange for payment?
Sale contract
ExplanationGoods or services exchange for payment.
#6
What is the term for a contract that has not yet been fully performed by all parties involved?
Executory contract
ExplanationIncomplete contract.
#7
In a contract, what does 'breach' typically refer to?
A violation of the agreement's terms
ExplanationViolation of contract terms.
#8
What is the difference between a bilateral and a unilateral contract?
A bilateral contract involves mutual promises, while a unilateral contract involves a promise in exchange for an act.
ExplanationMutual vs. one-sided promises.
#9
Which type of damages are awarded to compensate for losses directly resulting from a breach of contract?
Consequential damages
ExplanationCompensation for breach losses.
#10
In a contract, what is the difference between a condition and a warranty?
A condition is a promise that goes to the root of the contract, while a warranty is a secondary promise.
ExplanationPrimary vs. secondary promise.
#11
What does the term 'force majeure' typically refer to in a contract?
An unforeseen event that prevents one or both parties from fulfilling their obligations
ExplanationUnforeseen event preventing obligation fulfillment.
#12
What is the legal term for a situation where one party is induced by a misrepresentation to enter into a contract?
Fraudulent misrepresentation
ExplanationMisleading inducement to contract.
#13
In contract law, what is the 'parol evidence rule' concerned with?
Extrinsic evidence that contradicts a written contract
ExplanationLimiting extrinsic evidence in contracts.
#14
What legal doctrine allows a court to disregard the corporate entity and hold the shareholders personally liable?
Piercing the corporate veil
ExplanationDisregarding corporate entity.
#15
Which legal principle allows parties to a contract to bring it to an end by mutual agreement?
Doctrine of novation
ExplanationMutual contract termination.