Question

A contingent contract is also known as MCQ​

Answer 1

Contingent contracts are void and thus not enforceable in the court of law. Contingent contracts are valid and thus are enforceable in the court of law. Contingent contracts are voidable and thus enforceable at the option of promisor. Contingent contracts fall in the category of wagering agreements.

Answer 2

The correct answer is that A contingent contract is also known as a protection against a future change of plans.

Explanation:

• Contingent contracts usually occur when negotiating parties fail to reach an agreement.
• The contract is characterized as "contingent" because the terms are not final and are based on certain events or conditions occurring.
• A contingent contract can also be viewed as protection against a future change of plans.
• The contract becomes void if the condition is not met.
• Thus, contingent contracts are meant to be performed only under specific circumstances.