Asked by Morgan Brunk on Jun 03, 2024
Verified
Any contract that is not a formal contract is an informal contract, also called a simple contract.
Informal Contract
A contract that requires no formalities. Also called simple contract.
Formal Contract
A contract that must have a special form or must be created in a specific manner.
Simple Contract
A contract that is not a formal contract. Also called an informal contract.
- Differentiate between formal and informal (simple) contracts.
Verified Answer
KL
Kevin LeonardJun 07, 2024
Final Answer :
True
Explanation :
Informal or simple contracts are those that do not meet the specific requirements of formal contracts, such as being in writing or under seal, but are still legally binding agreements based on the parties' intentions and fulfillments of the contract terms.
Learning Objectives
- Differentiate between formal and informal (simple) contracts.