What Is an Implied-In-Fact Contract

question 38

Multiple Choice

What is an implied-in-fact contract?

• A) A contract created when an offeree receives and accepts in silence the benefits of an offered service with reasonable opportunity for rejection and with an understanding that some form of compensation will be required.
• B) A contract created when an offeror provides a benefit to an offeree in a unilateral contract.
• C) A contract created when one party makes an offer that can be accepted only by performance.
• D) A contract that is created when a party's intent to enter into a contract is unclear but the other party relies on a belief that promises have been made.
• E) A contract that is created by a mutual exchange of promises.

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Definitions:

Salaries

Regular payments made by an employer to an employee, usually on a monthly or biweekly basis, in exchange for work performed.

Administration Expenses

Expenses related to the general operation of a business that are not directly tied to the production or sale of goods or services, such as office supplies and salaries of administrative personnel.

Square Footage

A measurement of area used to determine the size of a space, often utilized in real estate to measure the size of buildings or rooms.

Setup Costs

Expenses incurred to prepare equipment or processes for manufacturing or service provision, often categorized as part of overhead.