An Agreement Is Illegal Only When Either Its Performance Is

question 37

True/False

An agreement is illegal only when either its performance is a crime.

Recognize how contract law varies internationally, with specific references to general and special provisions in contracts.

Understand the conditions under which a non-party to a contract may be held responsible for payment under theories such as quasi-contract.

Recognize the role of intent and subjective belief in the formation and enforceability of contracts.

Understand how contract law defines and handles negotiable instruments.

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Definitions:

Liability Account

An account documenting the obligations or debts a company owes to others, which must be settled over time.

Normal Balance

The usual debit or credit balance that an account type is expected to have, which helps in ensuring the correct recording of transactions.

Debit

An accounting entry that results in either an increase in assets or a decrease in liabilities on a company's balance sheet.

Dividends Declared

Profits distributed by a company to its shareholders, usually determined by the board of directors, and not yet paid out.