Question 1

An implied contract is implied from the conduct of the parties.

Accepted Answer

An implied contract is one that is inferred from the conduct of the parties involved, rather than explicitly stated.

Question 2

Letters of credit are formal contracts that are often used in international sales contracts.

Accepted Answer

Letters of credit are commonly used in international contracts to ensure payment and provide security for both the buyer and seller.

Question 3

A quasi contract is nota true contract.

Accepted Answer

A quasi contract is not an actual contract but rather a legal principle used to prevent unjust enrichment or unfairness in certain situations where no contract exists. It is a legal fiction created by the court to correct an injustice.

Question 4

Quasi contracts are often used by courts,even in cases where there is an actual contract that covers the area in controversy.

Accepted Answer

Quasi contracts are used by courts to prevent unjust enrichment in situations where no actual contract exists, not when there is an existing contract covering the issue.

Question 5

Jonathon promises to pay child support and alimony to his ex-wife every month after their divorce.Jonathon has
A)only a moral obligation to do keep his promise.
B)only a legal obligation to keep his promise.
C)both a legal and a moral obligation to keep his promise.
D)no obligation to keep his promise.

Accepted Answer

Jonathon has both a legal obligation to pay child support and alimony, as outlined in a divorce agreement, and a moral obligation to provide for his children and support his former spouse as agreed upon in their divorce settlement. Breaking this promise could have consequences in court and also harm his relationships with his children and ex-spouse.

Question 6

If a voidable contract is avoided,the parties to it are released from it.

Accepted Answer

When a voidable contract is avoided, it is as if the contract never existed and the parties are released from their obligations under it.

Question 7

A voidable contract is a valid contract that can be avoided at the option of at least one of the parties to it.

Accepted Answer

A voidable contract is a valid contract that can be avoided at the option of at least one of the parties to it. This means that one of the parties has the ability to either enforce the contract or avoid it.

Question 8

A quasi contract arises from a mutual agreement between two parties.

Accepted Answer

A quasi contract is not based on a mutual agreement, but rather it is a legal fiction created by a court to prevent unjust enrichment or unfairness to one party. It is an obligation imposed by law to prevent one party from benefiting at the expense of the other party.

Question 9

InTown Delivery Service promises to deliver a certain couch to Kurt,who promises to pay for the service.If InTown does not perform,it may be required to
A)do nothing.
B)make another promise.
C)pay monetary damages.
D)perform a different service.

Accepted Answer

If InTown Delivery Service fails to deliver the promised couch, it would be a breach of contract. As a result, it may be required to pay monetary damages to Kurt to compensate for the loss he suffered due to the breach. This is a common remedy for breach of contract and is intended to put the injured party in the position they would have been in had the contract been completed. Therefore, the best choice would be to pay monetary damages.

Question 10

A check,like other negotiable instruments,is a formal contract.

Accepted Answer

A check is a formal contract between the drawer and the payee, which contains an order to the bank to pay a specific amount of money to the payee.

Question 11

A contract can be executed on one side and executory on the other.

Accepted Answer

A contract can be executed on one side if one party has performed their obligations while the other side remains executory if the other party has yet to perform their obligations.

Question 12

An executed contract is one that has been fully performed by both parties.

Accepted Answer

An executed contract is one where all parties involved have fulfilled their contractual obligations, meaning the terms of the contract have been completely carried out.

Question 13

A void contract is enforceable if it is in writing.

Accepted Answer

A void contract is not enforceable, even if it is in writing.

Question 14

A quasi contract is notenforceable by a court.

Accepted Answer

A quasi contract, also known as an implied-in-law contract, is a legal fiction that imposes certain contractual obligations on parties even in the absence of an actual contract. While a quasi contract is not based on the express agreement of the parties, it is still enforceable by a court in order to prevent one party from unjustly benefiting from another party's efforts or assets. Therefore, option A is incorrect and option B is the correct answer.

Question 15

An otherwise valid contract may be unenforceable if it is not in writing.

Accepted Answer

According to the Statute of Frauds, certain types of contracts must be in writing in order to be enforceable in court. These include contracts for the sale of goods over a certain amount, contracts for the transfer of real estate, and contracts that cannot be performed within one year. If the contract falls into one of these categories and is not in writing, it may be unenforceable.

Question 16

An express contract doesnotneed to be in writing.

Accepted Answer

An express contract can be created verbally or through actions and does not necessarily need to be in writing.

Question 17

Cynthia tells Darryl that she will deliver his boxes of Paradise Cookies as he directs.A declaration that one will do something in the future is part of the defini-tion of
A)a prediction.
B)a premise.
C)a principle.
D)a promise.

Accepted Answer

A declaration that someone will do something in the future is part of the definition of a promise.

Question 18

Jack promises to buy Lizette's used textbook for $60.Jack is
A)an executor.
B)an offeree.
C)a promisee.
D)a promisor.

Accepted Answer

Jack is the one making a promise (to buy Lizette's textbook), therefore he is the promisor.

Question 19

Jim tells Dana that he will take her out to lunch on Thursday.Jim has made Dana a
A)prediction.
B)promise.
C)bilateral contract.
D)void contract.

Accepted Answer

Jim has made a promise to take Dana out to lunch on Thursday, which creates a unilateral contract.

Question 20

One purpose of quasi contracts is to prevent unjust enrichment of one party at the expense of another.

Accepted Answer

Quasi contracts are meant to prevent one party from benefiting unfairly or being enriched at the expense of another party. They create a fictional or implied contract to ensure that a fair and equitable outcome is achieved in situations where no actual contract exists.

Quiz 8: Nature and Classification