#1
Which of the following is an essential element for a valid contract?
All of the above
ExplanationAll elements mentioned are necessary for a contract's validity.
#2
What is the significance of 'capacity' in contract formation?
It refers to the legal ability of parties to enter into a contract.
ExplanationCapacity ensures parties are legally capable of entering into contracts.
#3
Which of the following elements is necessary for an offer to be valid?
It must be communicated to the offeree.
ExplanationAn offer must be properly communicated to the intended recipient.
#4
Which of the following is NOT a requirement for a valid offer?
The offer must be accepted by the offeror.
ExplanationThe offeror extends the offer; acceptance comes from the offeree.
#5
In contract law, what is the 'mirror image rule'?
A rule stating that the terms of the acceptance must exactly match the terms of the offer.
ExplanationAcceptance must mirror the offer's terms for a valid contract.
#6
Which of the following situations would likely render a contract voidable?
One party made a unilateral mistake about a material fact.
ExplanationA unilateral mistake by one party can make a contract voidable.
#7
What does 'quid pro quo' mean in the context of contracts?
A Latin term meaning 'equal exchange' or 'something for something.'
ExplanationIt signifies a fair exchange or consideration in a contract.
#8
What is the doctrine of 'consideration' in contract law?
It is the principle that each party to a contract must receive something of value.
ExplanationBoth parties must exchange something of value for a contract to be valid.
#9
What is the difference between a void contract and a voidable contract?
A voidable contract is valid until one party chooses to void it, while a void contract is invalid from the beginning.
ExplanationVoid contracts are invalid from inception, whereas voidable contracts are initially valid but can be voided.
#10
Which of the following is an example of a unilateral contract?
A contract where one party promises to pay $500 to anyone who finds their lost dog.
ExplanationThe contract is formed when performance is completed.
#11
What is the statute of frauds?
A law requiring certain contracts to be in writing to be enforceable.
ExplanationIt mandates written documentation for enforceability of specific contracts.
#12
Which of the following contracts is typically required to be in writing according to the statute of frauds?
A contract for the sale of real estate
ExplanationReal estate contracts often require written documentation for enforceability.
#13
What is the doctrine of 'promissory estoppel'?
A doctrine that allows enforcement of promises made without consideration in certain circumstances.
ExplanationIt permits enforcement of promises despite lacking consideration, under specific conditions.
#14
What is the doctrine of 'frustration of purpose'?
A doctrine that allows a party to terminate a contract if the purpose of the contract is frustrated by unforeseen circumstances.
ExplanationIt permits contract termination when unforeseen events render contract purpose unattainable.