When a Contract Is Legal at Its Creation but Subsequently

question 9

Multiple Choice

When a contract is legal at its creation but subsequently becomes illegal:

• A) Remedies are never available to the guilty party.
• B) Remedies are available to the guilty party as long as the innocent party receives their remedies first.
• C) Remedies are sometimes available to the guilty party.
• D) Remedies are always available to the guilty party.

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Definitions:

Fraction

A mathematical expression representing the division of one quantity by another, noted by a numerator divided by a denominator.

Marginal Revenue Product

The additional revenue generated by employing one more unit of a resource or input.

Marginal Cost

The additional cost of producing one more unit of a good or service.

Competitive Labor Market

A market where numerous employers are actively seeking to hire and numerous individuals are seeking employment, with wages determined by the supply and demand for labor.