Words or Terms in Contracts That Are Subject to More

question 43

True/False

Words or terms in contracts that are subject to more than one reasonable interpretation can lead to bilateral mistakes.​

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Definitions:

Promissory Estoppel

A legal principle that prevents a party from going back on a promise, even if it was made without formal consideration, when someone else has reasonably relied on that promise.

Statute of Frauds

A legal principle requiring certain types of contracts to be in writing and signed by the parties involved to be legally enforceable.

Statutory Novation

The replacement of an obligation to perform under a contract with a new obligation or party, as recognized by statute.

Effective Assignment

A transfer or allocation that fully accomplishes its intended purpose, often relating to tasks, responsibilities, or legal rights.