Introductory Business Law CLEP Test 2025 – 400 Free Practice Questions to Pass the Exam

Question: 1 / 400

What is required in order for a contract to be enforced in court?

A valid offer must be accepted

An agreement must be reached

The terms of the contract must be certain

Legal capacity of both parties

In order for a contract to be legally enforceable, it must meet certain requirements. While all of the options listed are important aspects of a contract, the most crucial factor is the legal capacity of both parties. This means that both parties must have the mental capacity to understand and enter into a contract. If one or both parties lack this capacity (e.g. due to being a minor or suffering from a mental illness), the contract may be considered void and unenforceable in court. Therefore, having a valid offer, reaching an agreement, and having certain terms are all important, but without the legal capacity of both parties, the contract would not hold up in court.

Get further explanation with Examzify DeepDiveBeta
Next Question

Report this question

Download Introductory Business Law CLEP Test 2025 – 400 Free Practice Questions to Pass the Exam PDF Study Guide
Subscribe

Get the latest from Examzify

You can unsubscribe at any time. Read our privacy policy