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Oral Contracts, Also Sometimes Known as a "Handshake" Contract Are

Question 27

Multiple Choice

Oral contracts, also sometimes known as a "handshake" contract are not preferred in the business environment because


A) They are not actually contracts.
B) Most businesses prefer written contracts to minimize risk and uncertainty as it can be difficult to prove the terms of the contract without a writing.
C) Oral contracts tend to be more expensive.
D) The court, when pressed, will not uphold the terms of the contract.

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