Question

1. An ambigouis contract can be interpreted according to the plain language of the contract. t/f 2. If a person receives a benefit, the law of implied contracts or quasi contract requires that person pay for the benefit. t/f 3. A one way promise can be enforced in court. t/f 4. Generally a contract must state all of its terms. There can be no missing information and reasonable interpretations are not allowed. t/f 5. Prior contracts between parties is a type of extrinsic evidence a court will consider to interpret a contract. t/f 6. Courts try to interpret a contract based on the plain meaning of what is written on the page. t/f

Answer 1

1. True: An ambiguous contract is a contract that includes the statements and the clauses which generate confusion. It reduces the clarity of the contract. Such ambiguous contracts should be interpreted according to the plain language of the contract which is clear, specific and includes all the backgrounds.

2. False: According to the implied contract, the individuals should not receive the benefits which are unjust. If so he or she should pay for it. Not all benefits are unjust so the statement is false.

3. False: the one-way promise is the promises which are given without expecting any returns. All one-way promises cannot be enforced. It depends on the expectations, impacts, etc of the promise.

4. True: A contract should include all the necessary details in order to enforce it legally. Otherwise, it would be considered an ambiguous contract.

5. False: The court won’t consider the prior contracts in order to interpret the existing contracts. The validity of the prior contracts will end as soon as the date mentioned in the contract ends. It won’t be considered for any further interpretations.

6. True: The plain meanings of the words and details mentioned in the contracts are considered by the court for its interpretations.