BOROUGH OF MANHATTAN COMMUNITY COLLEGE BUSINESS MANAGEMENT DEPARTMENT BUSINESS LAW BUS 110 Prof. Percy L. Lamb DO NOT WRITE ON TEST TRUE/ FALSE 1. The words " I promise to sell my house for S50,000" constitute an offer. The promisor's intention that his or her promise be legally binding is not required for the formation of a contract. 2. The statement, " I promise to buy from you all the coal that I need in my business next year" constitutes an offer which is reasonably definite. 3. 4. Not all terms of an offer need be expressed. Some may be implied. 5. If a contractual performance becomes illegal after the offer has been accepted but before the performance has been rendered, the offer is terminated. MULTIPLE CHOICE 6. Informal contracts include A. Letters of credit C. Both A and B