(a) That's wrong. 

You were asked to select the incorrect statement.

It is incorrect to say that a term requiring contracting parties to act in good faith is only implied by law into contracts that involve personal services between the contracting parties or relationships based on trust.

It is correct to say that a term requiring contracting parties to act in good faith is implied by law into every contract in Australia.

It is correct to say that the term requiring contracting parties to act in good faith means that they must not use their contractual powers or rights for dishonest or unreasonable purposes.

Give yourself no marks for this answer.

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