Express Contracts and Implied in Fact Contracts

question 1

Multiple Choice

Express contracts and implied in fact contracts:

• A) are both genuine contracts.
• B) are equally enforceable.
• C) are not really contracts.
• D) Two of these are true.

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Definitions:

Breach of Contract

occurs when a party fails to fulfill their obligations under a contract, either by not performing as promised, by interfering with another party's performance, or by repudiating the contract altogether.

Incontestability Clause

A provision in insurance policies that prevents the insurer from disputing the policy's validity after it has been in force for a specific period, usually two years, except under certain circumstances.

Material Misrepresentation

A false statement of a substantial fact that induces someone to enter into a contract or transaction.

Insurance Application

A formal request for coverage, providing necessary information for underwriting to evaluate and issue a policy.