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Contracts -What Would a Court Do If a Loan Agreement Included

Question 20

Multiple Choice

Contracts
-What would a court do if a loan agreement included an interest rate above a state's usury cap?


A) The court will order the parties to renegotiate the loan agreement.
B) The court will not enforce the interest rate.
C) The court will enforce the interest rate since the parties agreed to it.
D) The court will change the interest to one point below the usury cap.
E) The court will declare the agreement fraudulent.

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