Express contracts are defined as which of the following?

• A. Assumed contracts where both parties have interest but have not discussed the agreement in detail
• B. Orally stated or written agreements by the involved parties
• C. Implied contracts are informal agreements
• D. Void contracts lack consideration and consent

Answer: (B)

Express contracts are defined by explicit terms stated by the parties, either orally or in writing. When you discuss and agree on specific promises—what each party will do, the payment, and the timing—you’ve created an express contract, with its obligations clearly set out in words and easy to prove if a dispute arises.

This stands in contrast to implied contracts, which come from the parties’ conduct or the surrounding circumstances rather than from explicit language. They’re inferred from actions and the expectation of the parties, not from stated terms.

Void contracts relate to enforceability because they lack essential elements like lawful consideration or valid consent, which is a separate issue from whether terms were express or implied. An arrangement described as having little discussion doesn’t fit the definition of express contracts, since express terms are defined by clear, stated language.