The Courts Have Very Broad Powers to Enforce or Not

question 14

Multiple Choice

The courts have very broad powers to enforce or not enforce certain types of contracts.Which of the following statements best describes this power?

• A) Contracts that are contrary to public policy are well defined by statutes.
• B) The determination of what is unconscionable is very well established and follows very clear standards.
• C) Exculpatory clauses and noncompete agreements sometimes violate public policy and sometimes do not.
• D) To be contrary to public policy,the contract must violate a statute.

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Definitions:

Isoquant Curve

A graph showing different combinations of inputs that produce the same level of output, illustrating the trade-offs in input usage.

Production Function

A mathematical representation of the relationship between inputs used in production and the output produced from those inputs.

Inputs

Inputs employed in the manufacturing process, such as workforce, investment, substances, and power.

Marginal Product

The extra output produced when one more unit of input is added, keeping all other inputs constant.