Flashcards on Introduction to Contract Law

Introduction to Contract Law: Essential Concepts for Students

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What is a contract?

A legally binding agreement that is enforceable by law and provides certainty in business and everyday life.

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Contract Law

42 cards

Card 1

Question: What is a contract?

Answer: A legally binding agreement that is enforceable by law and provides certainty in business and everyday life.

Card 2

Question: What distinguishes a contract from a simple promise?

Answer: A contract is enforceable by law, whereas a simple promise is not.

Card 3

Question: Name the essential elements required for a valid contract.

Answer: Offer, Acceptance, Consideration, and Mutual assent (agreement on terms).

Card 4

Question: What is consideration and why is it important?

Answer: Consideration is something of value exchanged; it distinguishes a contract from a gift.

Card 5

Question: What does mutual assent mean in contract formation?

Answer: The combined presence of offer and acceptance showing agreement on the terms.

Card 6

Question: Who lacks capacity to form a contract?

Answer: Persons who are not legally capable (e.g., underage or not of sound mind) cannot form valid contracts.

Card 7

Question: What requirement does legality impose on a contract?

Answer: The contract’s purpose must be lawful; illegal purposes make a contract void.

Card 8

Question: Define a bilateral contract.

Answer: A contract where both parties exchange promises.

Card 9

Question: Define a unilateral contract.

Answer: A contract consisting of a promise in exchange for an act.

Card 10

Question: What is an adhesion contract?

Answer: A take-it-or-leave-it contract with standard terms offered by one party.