Introductory Business Law CLEP Prep Practice Exam

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Prepare for the CLEP Business Law Exam with flashcards and multiple-choice questions. Each question comes with hints and explanations to help you succeed. Master the content and pass your exam!

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What type of agreement is one that does not require recognition by a court?

Implied contract
Express contract
Quasi contract
Unenforceable contract

The correct answer is: Express contract

An express contract is a legally binding agreement where all the terms and conditions are clearly stated and agreed upon by both parties. This type of contract does not require recognition by a court because it is written and agreed upon voluntarily by both parties. Option A, implied contract, is incorrect as it is an agreement that is inferred through the actions and conduct of the parties, and may still require recognition by a court. Option C, quasi contract, is incorrect because it is not a true contract, rather it is a fictional agreement imposed by law to prevent unjust enrichment. Option D, unenforceable contract, is incorrect because it is a valid contract that for some reason, such as a lack of legal formality, cannot be enforced by a court.