Which of the Following Does the One-Year Rule State

question 24

Multiple Choice

Which of the following does the one-year rule state?

• A) Every contract in writing is subject to yearly renewal.
• B) The terms of a written contract can be modified within a year of its formation.
• C) A contract that cannot be performed on its own terms within a year should be in writing.
• D) Valid contracts cannot be rescinded by either party until a year after their formation.

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Definitions:

Bank Account

A financial account maintained by a bank or other financial institution where the funds deposited by an account holder can be accessed.

Average Cheque

The average amount of money received or paid in transactions, commonly used in banking and retail settings.

Mail Delivery

The system of transporting and distributing letters and packages from senders to recipients.