Once signed, a contract is legally binding unless?
Submitted by Antoine D on Tue, 09/11/2012 - 12:23
Once signed, a contract is legally binding unless:
1. it is declared null and void by either party’s legal counsel
2. one party is unable to perform
3. one party is unable to finance its part of the work
4. its is in violation of applicable law
This is a question from Rita's book 6th edition.
Correct answer is 4 - it is in violation of applicable law.
I would have think that the answer 3 would be good too.
Forums:
mkar
Tue, 09/11/2012 - 15:26
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reason for the correct answer
Option 3 is not a correct answer as when a contract is signed it is the responsibility of the parties to finance the project and commit to all the contractual obligations irrespective of their internal factors. At the same time, contracts should not violate the applicable laws. If the contract does not take into consideration the applicable laws, it is void.
ram
Antoine D
Wed, 09/12/2012 - 00:25
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I made a mistake when I copy
I made a mistake when I copy and paste this question.
I wanted to say that answer 1 seemed good, don't you think so?
". it is declared null and void by either party’s legal counsel"
admin
Wed, 09/12/2012 - 03:55
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1. is not the best answer
1. is not the best answer since the contract may not allow either party to declare null and void. IT can be the right answer in cases where either party is allowed to terminate.
4. will always be valid, since you cannot violate applicable law and it overrides project contract.
sspawar
Wed, 09/12/2012 - 04:49
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Few questions framed with a
Few questions framed with a difficult english language or grammar rather than the real Knowledge area.
above question is if asked like that :
Once signed, a contract is legally binding provided:
1. it is declared null and void by either party’s legal counsel
2. one party is unable to perform
3. one party is unable to finance its part of the work
4. it is not in violation of applicable law
PMPexam always follow simple and universal english language, it test your knowledge area and understanding in Pro Mangt. with a required level of knowledge of english ( I mean lietrative or atypical english is not necessary) - It depends on question maker how simply , he/she asked his question or how ambiguishly he/she asked the question.
I little modify this question in this way
Once signed, a contract is legally binding otherwise:
1. it is declared null and void by either party’s legal counsel
2. one party is unable to perform
3. one party is unable to finance its part of the work
4. its is in violation of applicable law
Now answer will be 1.
So my conclusion is that many a times answerer know the knowledge area but because of a difficult construction of sentences, makes question unclear.