Quest Holdings,Inc.,orally contracts for a lease of its facilities to Ray to use for his Swamp & Bayou Fishing Camp.Ray pays part of the rent,takes possession,and improves the property for use by his enterprise.The contract is most likely enforceable by
A)Quest Holdings and Ray.
B)Quest Holdings but not Ray.
C)any interested third party,such as a Swamp & Bayou client.
D)no one.

Question

Quizplus · Accepted Answer

Even though the contract was only oral, both parties entered into an agreement where Ray paid part of the rent, took possession, and made improvements to the property for his use. This indicates that both parties intended to create a legal relationship, and as such, the contract is enforceable by both parties.