Authority to contract comes from the entity's enabling legislation. Which type of law defines this authority?

Authority to contract comes from the entity's enabling legislation. Which type of law defines this authority?

• A. Common law
• B. Statutory law
• C. Administrative law
• D. Case law

Answer: (B)

The contracting authority for a government entity comes from enabling legislation, which is the statute created by the legislature to authorize the agency to act. This source of authority is statutory law—laws enacted by a legislative body that define powers, duties, and procedures. Common law relies on judicial decisions and precedent, administrative law comes from agency regulations, and case law refers to how courts interpret statutes and regulations. So, enabling legislation is a prime example of statutory law.

The contracting authority for a government entity comes from enabling legislation, which is the statute created by the legislature to authorize the agency to act. This source of authority is statutory law—laws enacted by a legislative body that define powers, duties, and procedures. Common law relies on judicial decisions and precedent, administrative law comes from agency regulations, and case law refers to how courts interpret statutes and regulations. So, enabling legislation is a prime example of statutory law.