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Which of the Following Statements About Output Contracts Is False

Question 33

Multiple Choice

Which of the following statements about output contracts is false?


A) Output contracts are generally illusory because they fail to specify a quantity of goods to be produced or purchased.
B) A party's quantity needs must be made in good faith.
C) A party's quantity needs cannot be unreasonably disproportionate to any normal prior output.
D) A party may not use an output contract to exploit the other party.

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