Asked by
Thataeng Gabriel Mohulatsi
on Nov 29, 2024
Verified
The requirement that each party to a contract must intentionally exchange something of value as an inducement to the other party to make a return exchange is known as:
A) mutual assent.
B) consideration.
C) legality of object.
D) contractual capacity.
Mutual Assent
An agreement between parties that intend to form a contract, evidenced by an offer and acceptance.
Consideration
A value that is promised, given, or received by a party in a contract, making the agreement legally enforceable.
- Understand the prerequisites for a valid contract, such as mutual agreement, exchange of consideration, the legality of the subject matter, and the ability to enter into a contract.
Verified Answer
GC
Learning Objectives
- Understand the prerequisites for a valid contract, such as mutual agreement, exchange of consideration, the legality of the subject matter, and the ability to enter into a contract.