The element of consideration in a contract refers to the:
A) competence of the parties.
B) purpose of the contract.
C) parties' exchange of promises.
D) form of the contract.

Question

Quizplus · Accepted Answer

Consideration in a contract refers to the exchange of promises or something of value between the parties. It is the benefit that each party receives or expects to receive from the contract. Competence, purpose, and form of the contract are important elements, but they do not refer to consideration.

The Element of Consideration in a Contract Refers to The