America's European Allies Argued That They Should Not Have to Repay

question 36

Multiple Choice

America's European allies argued that they should not have to repay loans that the United States made to them during World War I because

• A) the United States had owed them about $4 billion before the war.
• B) the amount of money involved was not significant.
• C) they had paid a much heavier price in lost lives, so it was only fair for the United States to write off the debt.
• D) the United States was making so much money from Mexican and Middle Eastern oil that it did not need extra dollars.
• E) ​

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Definitions:

Legally Enforceable Contract

An agreement between parties that is recognized by law and can be enforced in court if not fulfilled.

Breached

Violation or breaking of a law, duty, or agreement.

Consideration

In contract law, consideration refers to something of value that is exchanged between parties as part of an agreement.

Capacity

The legal ability of a person to enter into binding contracts.