The Threshold Mental Competence Required by Law for a Party

question 116

Multiple Choice

The threshold mental competence required by law for a party who enters into a contract to be bound by that contract is called

• A) offer.
• B) acceptance.
• C) consideration.
• D) contractual capacity.

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Definitions:

Body Language

Non-verbal communication through physical behaviors, including gestures, facial expressions, and body positions, which can express emotions, intentions, or social information.

Actual Authority

The explicit power granted to an agent by a principal, either through oral or written agreement, allowing the agent to act on the principal's behalf.

Express Authority

Authorization granted to an agent in clear, direct, and definite terms by the principal.

Implied Authority

Authority not expressly granted but assumed to be given due to the nature of a job or position.