Answer:
In a provision, purchaser agrees to provide seller with a check of $100,000 on 5 th of January. On the other end seller agrees to provide all the deeds for the property to purchaser.
It is not necessary to write the number $100,000 in words while drafting a contact. So, option (b) is incorrect.
Reciprocal and conditions are mentioned while drafting a contract, to prevent contract breach. There is no such reciprocal promises, and conditions between seller and buyer. So, option (c) and (d) are incorrect.
Answer: option (a), i.e. it is not clear who purchaser and seller are.
Explanation: There is an ambiguity in drafting a contract. The contract should be clear with who the seller and buyer are. Even, the date mentioned in the contract is unclear. So, this is wrong in the particular provision.
Answer:
Covenant and representation:
Covenant is a promise given in contract. A representation is that statement, which carries facts related to present and past.
Here, clause 1 states that B legally exists and clause 2 states that 2,000 pounds will be provided to WS every week.
Clause 1 is a representation that talks about the present feature of an organization. But, clause 2 is a covenant that promises 2,000 pounds to a person or a company. Hence, Option
clause 1 is representation and clause 2 is covenant is correct.
Since (b) is correct, options (a), (c), and (d) are incorrect, as they do not comply with the case requirements or given definitions.
Answer:
Advantages of hiring a lawyer to analyze or draft a contract are given below:
The major advantage of hiring a lawyer to analyze or draft a contract is as follows:
• The lawyer can protect from all unexpected events in the future. So, a lawyer is appointed to outline a contract.
• When a lawyer drafts contract, all the obvious mistakes can be avoided. So, there will be no typographical errors.
Disadvantages of hiring a lawyer to draft a contract are given below:
The main disadvantage for appointing a lawyer to draft or outline a contract is as follows:
• The lawyer fee is extremely high.
• It is a time consuming process, when a lawyer is hired to outline a contract.