Assuming That All Other Elements of a Contract Are Present

question 127

Multiple Choice

Assuming that all other elements of a contract are present, which of the following would most likely be held to be a binding contract, considering only the requirement that the object of a contract must be legal and not contrary to the public interest?

• A)A provision in a contract of employment where the employee agrees that, upon leaving, he or she will not work in a similar business anywhere for five years
• B)A life insurance policy bought by Harvey insuring the life of his neighbour Kneival without Kneival's consent
• C)An agreement to pay $500 to Mildred if Mildred spreads the false rumour that Helen, a nurse, has AIDS
• D)An insurance policy paid by a shareholder to insure the business premises of a company in which he holds shares
• E)An agreement among city-wide gas station owners to set a common price for gas

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Definitions:

LAN

Stands for Local Area Network, a computer network that interconnects computers within a limited area such as a residence, school, laboratory, or office building.

WAN

Wide Area Network, a telecommunications network that extends over a large geographic area for the purpose of computer networking.

Fiber-Optic

Referring to the technology of transmitting light through thin, flexible fibers of glass or plastic for telecommunications or lighting.

Dial-Up

A form of internet access that connects users to the internet through a telephone line.