Which of the following statements is true of interpreting contract words and terms?
A) Where a preprinted form contract is used, preprinted words prevail over typed words.
B) Preprinted words prevail over handwritten words.
C) Specific terms are presumed to qualify general terms.
D) If there is an ambiguity in a contract, the ambiguity will be resolved in favor of the party who drafted the contract.

Question

Quizplus · Accepted Answer

Specific terms in a contract are considered to qualify general terms. For example, if a contract includes a general term like "appliances," but also includes a specific term like "refrigerator," the term "refrigerator" would take precedence and qualify the meaning of "appliances." The other statements are not generally true. Preprinted words and typed or handwritten words should all be considered equally valid, and the interpretation of a contract's ambiguous terms will depend on the context and specific circumstances of the case. There is no general rule favoring one party or another in these situations.

Which of the Following Statements Is True of Interpreting Contract