CLA/CP Exam CLA/CP Contract Law and Formation Questions and Answers 3

Question 1

Under the Statute of Frauds, which of the following contracts must be in writing to be enforceable?

Accepted Answer

A contract for the sale of land

Answer

The Statute of Frauds requires contracts for the sale of an interest in land to be evidenced by a writing signed by the party to be charged.

Question 2

Which of the following would most likely render a contract voidable?

Accepted Answer

Duress exerted on one party during formation

Answer

Duress undermines genuine assent, making the contract voidable at the option of the coerced party.

Question 3

What is the legal effect of an illusory promise in contract formation?

Accepted Answer

It fails to constitute valid consideration

Answer

An illusory promise does not bind the promisor to any obligation, so it cannot serve as valid consideration for a contract.

Question 4

In contract law, what does the concept of 'mutual assent' require?

Accepted Answer

A meeting of the minds on essential terms

Answer

Mutual assent requires that both parties objectively agree on the material terms of the contract, judged by outward expressions rather than secret intentions.

Question 5

Which of the following best describes an option contract?

Accepted Answer

An irrevocable offer supported by consideration

Answer

An option contract is created when the offeree provides consideration to keep the offer open for a specified period, making it irrevocable during that time.

CLA/CP Exam Practice Test

CLA/CP Exam Practice Test

CLA/CP Exam CLA/CP Contract Law and Formation Questions and Answers 3