Ch 18: Praxis Business: Contract Law

About This Chapter

Clarify critical information concerning contract law in your review for the Praxis Business Education exam. Use the short, user-friendly video lessons and interactive quizzes for self-assessment.

Praxis Business Education: Contract Law - Chapter Summary

Let us help you review the definitions of law terms and better understand the differences between the various types of contracts, in preparation for the Praxis Business Education exam. This chapter's video lessons address the following topics:

  • Contract law types and definitions
  • Contract parties: promisees, promisors and beneficiaries
  • Objective standard and mutual assent
  • Offers in contract law
  • Terminations of offers
  • Acceptances in contract law
  • Sources: Uniform Commercial Code and common law

Follow each motivating lesson by completing the quick quiz. Revisit any topics that might still need your attention.

Praxis Business Education: Contract Law Objectives

You'll answer questions pertaining to contract law concepts in the 15% of your exam that addresses law and international business, which is about 18 of the 120 test questions. In addition to contract law, you should be prepared to demonstrate mastery of the following objectives for this portion of the test:

  • Foundations, role and impact of international business
  • Environment of international business: cultural, social, political, economic and legal factors
  • Trade relations: trade barriers, imports/exports, balance of trade and trade agreements
  • Consumer law
  • Computer law: privacy/security, intellectual property and copyright
  • U.S. court system

Use these video lessons and quizzes to review all aspects of contract law, in addition to other topics concerning law and international business included on the Praxis.

7 Lessons in Chapter 18: Praxis Business: Contract Law
Test your knowledge with a 30-question chapter practice test
Contract Law Terms: Definitions & Contract Types

1. Contract Law Terms: Definitions & Contract Types

A contract is an agreement between two or more parties to perform a service, provide a product or commit to an act and is enforceable by law. There are several types of contracts, and each have specific terms and conditions.

Parties to a Contract: Promisor, Promisee & Beneficiary

2. Parties to a Contract: Promisor, Promisee & Beneficiary

There are at least two parties involved in a contract: the promisor, promisee and, sometimes, a third party beneficiary may be named. Each party has a different obligation to the contract terms. The beneficiary in a contract generally does not have the same level of responsibility for the contract's performance.

Mutual Assent & Objective Standard in Contract Law: Definitions & Examples

3. Mutual Assent & Objective Standard in Contract Law: Definitions & Examples

Mutual assent is considered the meeting of the minds between two or more parties that forms the foundation of a contract. At the time of mutual assent, it can be said that a legally binding contract exists.

What Is an Offer in Contract Law?

4. What Is an Offer in Contract Law?

In contract law, an offer is a promise in exchange for performance by another party. An offer can be revoked or terminated under certain conditions. There are also times when an offer can be negotiated to create a counter-offer.

Termination of an Offer in Contract Law: Methods & Examples

5. Termination of an Offer in Contract Law: Methods & Examples

There are several ways in which a contract can be terminated, including performance, impossibility of performance and breach of contract. Other ways to end a contractual agreement are a bit more complicated and involve a prior commitment on the part of one or both of the parties or even revocation.

What Is Acceptance in Contract Law? - Definition, Rules & Examples

6. What Is Acceptance in Contract Law? - Definition, Rules & Examples

There are essentially six elements in a contract. Once an offer is made, the next element is acceptance. Offer and acceptance combined with consideration make for the glue that creates a binding contract.

Sources of Contract Law: Common Law & Uniform Commercial Code

7. Sources of Contract Law: Common Law & Uniform Commercial Code

There are two sources of contract law: common law, which is based on case rulings, and statutory law, which is based on federal and state statutes. Contract law uses both common law and a set of statutory rules known as the Uniform Commercial Code.

Chapter Practice Exam
Test your knowledge of this chapter with a 30 question practice chapter exam.
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Practice Final Exam
Test your knowledge of the entire course with a 50 question practice final exam.
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