Contract law worksheet with answers

The rule that "consideration must move from the promisee" means:

1. AThe consideration must be handed to a court
2. BA person can enforce a promise only if they gave consideration for it
3. CThe promisee must always pay in cash
4. DThe promisor must provide all the consideration for the promise it makes

In English law, "past consideration" is generally:

1. ANot good consideration
2. BRequired for every contract
3. CGood consideration only between family members
4. DGood consideration if it was valuable

A "voidable" contract is one that:

1. AIs valid until the affected party chooses to set it aside
2. BIs a criminal agreement and illegal
3. CNever had any legal effect at all
4. DCan only be ended by both parties agreeing together to cancel it

A contract made under duress may be:

1. ATurned into a criminal offence only
2. BAvoided (set aside) by the pressured party
3. CEnforced against the pressured party in every case
4. DAutomatically valid with no remedy

A court will imply a term in fact into a commercial contract only if:

1. AIt is necessary for business efficacy or so obvious it goes without saying
2. BIt would benefit the weaker party
3. CIt would be reasonable and fair to both parties, even if it is not necessary
4. DIt is usual in contracts in other industries

Under section 2(1) of the Misrepresentation Act 1967, a person who made a false statement inducing a contract is liable in damages unless:

1. AThey prove they had reasonable grounds to believe, and did believe, it was true
2. BThe claimant proves that the statement was made fraudulently and not merely carelessly
3. CThe contract was made between two businesses
4. DThe statement was made orally and not in writing

In a unilateral contract, once the offeree has started to perform the requested act:

1. AThe offeror can still revoke at any time before performance is completed
2. BThe full reward becomes payable immediately
3. CThe offeror generally cannot revoke while performance continues
4. DThe offeree becomes bound to complete performance

A council writes that it "may be prepared to sell" a house to a tenant and invites a formal application. The tenant applies, then the council changes its policy. In Gibson v Manchester City Council, the House of Lords held:

1. AA contract was formed when the council's letter was sent to the tenant
2. BA contract was formed when the tenant applied
3. CThe council was bound by estoppel to sell
4. DThere was no contract, because the letter was not an offer