The law of obligations — ACCA Practice Question 06

How to approach this question

Consider the sources of implied terms: fact, law, and custom. Regulatory compliance is typically a matter of law.

Full Answer

C.It would be implied by law as a necessary incident of this type of contract.✓ Correct

Terms can be implied into a contract by law (either by statute or common law) regardless of the parties' intentions, often to protect one party or ensure compliance with overriding legal frameworks. In a medical context, compliance with data privacy is a legal necessity.

Common mistakes

Confusing terms implied by fact (officious bystander test) with terms implied by law.

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Full Answer

Common mistakes

Practice the full ACCA LW — Corporate and Business Law Practice Exam 5

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