SD Bar Contracts

Question 1

Under the common law, which of the following is required for a valid contract?

Accepted Answer

Offer, acceptance, and consideration

Answer

A valid common law contract requires offer, acceptance, and consideration — the three essential elements of contract formation.

Question 2

Under the mirror image rule, which of the following best describes how an acceptance must be made?

Accepted Answer

The acceptance must match the terms of the offer exactly

Answer

Under the common law mirror image rule, an acceptance must be unequivocal and conform exactly to the offer's terms; any variation constitutes a counteroffer.

Question 3

A bilateral contract is formed when:

Accepted Answer

Both parties exchange promises

Answer

A bilateral contract is formed through an exchange of mutual promises, where each party's promise serves as consideration for the other's promise.

Question 4

Under the mailbox rule, when is an acceptance by mail effective?

Accepted Answer

Upon dispatch, when properly mailed

Answer

The mailbox rule provides that an acceptance is effective upon dispatch — the moment it is properly mailed — not when the offeror receives it.

Question 5

Which of the following is NOT valid consideration for a contract?

Accepted Answer

A promise to perform a pre-existing legal duty

Answer

A promise to perform a pre-existing legal duty is not valid consideration because the promisor is already legally obligated to perform that duty.

(SD Bar) South Dakota Bar Exam Practice Test

(SD Bar) South Dakota Bar Exam Practice Test

SD Bar Contracts