The Formation of Sales and Lease Contracts Requires Consideration

question 42

True/False

The formation of sales and lease contracts requires consideration.

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Definitions:

Graze

The act of eating small quantities of food periodically or animals feeding on grass in a pasture.

Warranty Deed

A document that guarantees the seller holds clear title to a piece of real estate and has a right to sell it to the buyer.

Defects in Title

A legal issue where the seller of a property does not have the legal right to transfer ownership, or there are claims or liens against the property that affect its transfer or value.

Foreclosure Action

A legal process by which a lender attempts to recover the balance of a loan from a borrower who has stopped making payments by forcing the sale of the asset used as collateral.