Abco Corp Is Building a New Office Tower

question 9

True/False

Abco Corp. is building a new office tower. Ace Plumbing Supplies refuses to provide plumbing materials on credit to the plumbing subcontractor on the building. Abco promises Ace that it will pay for the materials if the subcontractor does not. Abco's oral promise is enforceable.

---

Definitions:

Implied Conditions

Terms and stipulations that are not expressly stated but are understood to be included within a contract or agreement.

Condition Subsequent

In a contract, a future event that terminates the obligations of the parties when it occurs.

Conditional Contract

A contract that becomes enforceable only upon the occurrence of certain conditions or the performance of a particular act.

Implied Conditions

Terms and stipulations that, although not expressly stated, are understood to be part of a contract based on the nature of the transaction.