An agreement that consists of two or more parts and calls for corresponding performances of each part by the parties is called a:
A) partial contract.
B) divisible contract.
C) performance contract.
D) divided contract.

Question

Quizplus · Accepted Answer

A divisible contract is an agreement wherein the parties can perform their obligations in parts or segments, with each segment standing as a separate consideration for each party. This means that the contract can be divided into separate and independent obligations that can be performed separately by the parties. Therefore, option B is the correct answer. Option A is incorrect because a partial contract is vague and unclear. Option C is incorrect because while performance is involved, it does not specifically address the nature of the agreement. Option D is incorrect because the meaning of divided contract is unclear.

An Agreement That Consists of Two or More Parts and Calls