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    Question

    Which of the following best describes a contingent

    contract?
    A A contract to perform an action regardless of any event Correct Answer Incorrect Answer
    B A contract where performance depends on the occurrence or non-occurrence of a specific event Correct Answer Incorrect Answer
    C A contract where one party is bound to perform, irrespective of any external conditions Correct Answer Incorrect Answer
    D A contract that becomes void if an event, unrelated to the contract, occurs Correct Answer Incorrect Answer
    E A contract based on the performance of the other party, regardless of external circumstances Correct Answer Incorrect Answer

    Solution

    Explanation: Contract Act Section 31."Contingent contract" defined:A "contingent contract is a contract to do or not to do something, if some event, collateral to such contract, does or does not happen.

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