Module: | Fundamentals of Contracts
Q7: A customer signing a written loan agreement, is an example of an express contract. What is a common example of an implied contract in banking?
✅ Correct Answer: A
An express contract is stated in words (written or spoken), like a loan agreement.
An implied contract is formed by the conduct of the parties.
When a bank accepts a cheque for collection, an implied agency contract is created by the customer's action of depositing it.
An implied contract is formed by the conduct of the parties.
When a bank accepts a cheque for collection, an implied agency contract is created by the customer's action of depositing it.