Question 1

Which of the following would be considered a material breach of a contract?

Accepted Answer

A)  Partial performance that omits some essential part of the contract. 
B)  Delivery of 50 chairs in a contract that calls for 100 chairs. 
C)  An intentional breach of the contract. 
D)  All of these would be material breaches. 
A)  Partial performance that omits some essential part of the contract. 
B)  Delivery of 50 chairs in a contract that calls for 100 chairs. 
C)  An intentional breach of the contract. 
D)  All of these would be material breaches.

Question 2

On November 1,Paula and Mia enter into a contract where both parties are obligated to perform on December 31.On December 1,Paula tells Mia,"I cannot and do not plan to perform my duties in our contract." This statement is a(n):

Accepted Answer

A)  material alteration. 
B)  anticipatory repudiation. 
C)  nonmaterial breach since the statement is made before December 31. 
D)  accord. 
A)  material alteration. 
B)  anticipatory repudiation. 
C)  nonmaterial breach since the statement is made before December 31. 
D)  accord.

Question 3

The Restatement and the Code have made the traditional test of objective impossibility more stringent by requiring that the performance must be actually or literally impossible.

Accepted Answer

A) True 
 B)False

Question 4

An express condition is usually preceded by such words as:

Accepted Answer

A)  if. 
B)  because. 
C)  how. 
D)  All of these. 
A)  if. 
B)  because. 
C)  how. 
D)  All of these.

Question 5

In all substituted contracts there must be an agreement among three parties where a new promise is substituted for an existing promise or a new promisor is substituted for an existing promisor.

Accepted Answer

A) True 
 B)False

Question 6

Breach of a contractual promise and failure of a condition have fundamentally the same effect.

Accepted Answer

A) True 
 B)False

Question 7

Lynn,a tailor,agrees to sew a pair of drapes for Zach's living room.Zach promises to pay Lynn $300.Lynn completes the drapes using material selected by Zach,but Zach is not satisfied and refuses to pay for them.In this case:

Accepted Answer

A)  whether Zach will have to pay for the drapes depends upon whether as a reasonable man he ought to be satisfied. 
B)  the standard applied here is a subjective standard of satisfaction. 
C)  the doctrine of frustration of purpose applies. 
D)  the condition of satisfaction is an express condition. 
A)  whether Zach will have to pay for the drapes depends upon whether as a reasonable man he ought to be satisfied. 
B)  the standard applied here is a subjective standard of satisfaction. 
C)  the doctrine of frustration of purpose applies. 
D)  the condition of satisfaction is an express condition.

Question 8

Robert and Bella entered into a bilateral contract.If they agree to a rescission of the contract while it is executory,there is a lack of consideration for the rescission.

Accepted Answer

A) True 
 B)False

Question 9

Which of the following is/are correct with regard to conditions subsequent?

Accepted Answer

A)  Conditions subsequent are quite common in contracts. 
B)  A "sale or return" contract is an example of a contract with a condition subsequent. 
C)  A condition subsequent must occur before performance is due under a contract. 
D)  All of these are correct. 
A)  Conditions subsequent are quite common in contracts. 
B)  A "sale or return" contract is an example of a contract with a condition subsequent. 
C)  A condition subsequent must occur before performance is due under a contract. 
D)  All of these are correct.

Question 10

Meg has contracted to paint a portrait of Julio,but dies before completing the portrait.Which of the following is correct?

Accepted Answer

A)  Meg's executor must find a capable artist to complete the work to Julio's satisfaction. 
B)  Meg's contractual duty is discharged due to objective impossibility. 
C)  A novation must be entered between Julio and a third person in order to discharge Meg's duty under the contract. 
D)  Meg's contractual duty is discharged due to subjective impossibility. 
A)  Meg's executor must find a capable artist to complete the work to Julio's satisfaction. 
B)  Meg's contractual duty is discharged due to objective impossibility. 
C)  A novation must be entered between Julio and a third person in order to discharge Meg's duty under the contract. 
D)  Meg's contractual duty is discharged due to subjective impossibility.

Question 11

Russell promises Marty $1,500 if he will completely landscape Russell's yard.Which of the following would discharge Russell's obligations to pay under this contract?

Accepted Answer

A)  Marty leaves a one-foot strip of land barren. 
B)  Marty doesn't begin work on the landscaping until after he finishes two other jobs. 
C)  Marty doesn't plant any flowers,shrubs,or grasses. 
D)  Russell isn't satisfied with Marty's design. 
A)  Marty leaves a one-foot strip of land barren. 
B)  Marty doesn't begin work on the landscaping until after he finishes two other jobs. 
C)  Marty doesn't plant any flowers,shrubs,or grasses. 
D)  Russell isn't satisfied with Marty's design.

Question 12

What is the difference between implied-in-fact and express conditions?

Accepted Answer

Express conditions are explicitly set fo

Question 13

Conditions may be classified:

Accepted Answer

A)  by how they are imposed. 
B)  by when they affect a duty of performance. 
C)  Both of these;they are not mutually exclusive. 
D)  Neither of these. 
A)  by how they are imposed. 
B)  by when they affect a duty of performance. 
C)  Both of these;they are not mutually exclusive. 
D)  Neither of these.

Question 14

Henry hires Ace Roofing to put a new roof on his house.When Ace comes,Henry refuses to let them on the roof,saying that he has a headache and doesn't want to listen to pounding.The next day,Henry still has a headache and he refuses to allow them on the roof.The day after,the baby is sleeping and Henry refuses to allow them to work.After four weeks of this,Ace:

Accepted Answer

A)  may be discharged,but Henry is not. 
B)  may be discharged,and so would Henry. 
C)  can sue for damages,but must perform when Henry is ready. 
D)  has no choice but to keep coming back each day until Henry is ready. 
A)  may be discharged,but Henry is not. 
B)  may be discharged,and so would Henry. 
C)  can sue for damages,but must perform when Henry is ready. 
D)  has no choice but to keep coming back each day until Henry is ready.

Question 15

There is only one way to completely and legally discharge a contract.

Accepted Answer

A) True 
 B)False

Question 16

Discharge by performance is the most frequent method of discharging a contractual duty.

Accepted Answer

A) True 
 B)False

Question 17

Substituted contracts immediately discharge the duties of the original contract.

Accepted Answer

A) True 
 B)False

Question 18

If there is a novation,the original promisor remains liable to the original promisee if the new promisor fails to perform.

Accepted Answer

A) True 
 B)False

Question 19

Marie owes Nathan $800 and the parties agree that Marie will paint Nathan's house in satisfaction of the debt.The debt is not discharged until Marie performs the substituted agreement by painting Nathan's house.

Accepted Answer

A) True 
 B)False

Question 20

Phil,a tax accountant,promises to do Marge's individual federal,state,local,and gift taxes for the year.He completes all but the gift taxes.Under the substantial performance doctrine,Marge will:

Accepted Answer

A)  not have to pay Phil. 
B)  not have to accept the work. 
C)  have to pay Phil for all but the gift taxes. 
D)  have to pay Phil the contract price. 
A)  not have to pay Phil. 
B)  not have to accept the work. 
C)  have to pay Phil for all but the gift taxes. 
D)  have to pay Phil the contract price.

Exam 17: Performance,breach,and Discharge

Which of the following would be considered a material breach of a contract?

On November 1,Paula and Mia enter into a contract where both parties are obligated to perform on December 31.On December 1,Paula tells Mia,"I cannot and do not plan to perform my duties in our contract." This statement is a(n):

The Restatement and the Code have made the traditional test of objective impossibility more stringent by requiring that the performance must be actually or literally impossible.

An express condition is usually preceded by such words as:

In all substituted contracts there must be an agreement among three parties where a new promise is substituted for an existing promise or a new promisor is substituted for an existing promisor.

Breach of a contractual promise and failure of a condition have fundamentally the same effect.

Lynn,a tailor,agrees to sew a pair of drapes for Zach's living room.Zach promises to pay Lynn $300.Lynn completes the drapes using material selected by Zach,but Zach is not satisfied and refuses to pay for them.In this case:

Robert and Bella entered into a bilateral contract.If they agree to a rescission of the contract while it is executory,there is a lack of consideration for the rescission.

Which of the following is/are correct with regard to conditions subsequent?

Meg has contracted to paint a portrait of Julio,but dies before completing the portrait.Which of the following is correct?

Russell promises Marty $1,500 if he will completely landscape Russell's yard.Which of the following would discharge Russell's obligations to pay under this contract?

What is the difference between implied-in-fact and express conditions?

Conditions may be classified:

There is only one way to completely and legally discharge a contract.

Discharge by performance is the most frequent method of discharging a contractual duty.

Substituted contracts immediately discharge the duties of the original contract.

If there is a novation,the original promisor remains liable to the original promisee if the new promisor fails to perform.

Marie owes Nathan $800 and the parties agree that Marie will paint Nathan's house in satisfaction of the debt.The debt is not discharged until Marie performs the substituted agreement by painting Nathan's house.

Phil,a tax accountant,promises to do Marge's individual federal,state,local,and gift taxes for the year.He completes all but the gift taxes.Under the substantial performance doctrine,Marge will:

Introduction to Law

Business Ethics and the Social Responsibility of Business

Civil Dispute Resolution

Constitutional Law

Administrative Law

A: Administrative Law

Criminal Law

Intentional Torts

Negligence and Strict Liability

Introduction to Contracts

Mutual Assent

Conduct Invalidating Assent

Consideration

Illegal Bargains

Contractual Capacity

Contracts in Writing

Third Parties to Contracts

Contract Remedies

Relationship of Principal and Agent

Relationship With Third Parties

Introduction to Sales and Leases

Performance

Transfer of Title and Risk of Loss

Products Liability: Warranties and Strict Liability in Tort

Sales Remedies

Form and Content

Transfer and Holder in Due Course

Liability of Parties

Bank Deposits,collections,and Funds Transfers

Formation and Internal Relations of General Partnerships

Operation and Dissolution of General Partnerships

Limited Partnerships and Limited Liability Companies

Nature,formation,and Powers

Financial Structure

Management Structure

Fundamental Changes

Secured Transactions and Suretyship

Bankruptcy

Protection of Intellectual Property

Antitrust

Consumer Protection Double

Employment Law

Securities Regulation

Accountants Legal Liability

Environmental Law

International Business Law

Introduction to Property,property Insurance,bailments,and Documents of Title

Interests in Real Property

Transfer and Control of Real Property

Trusts and Decedents Estates

Legal Terminology: Understanding Criminal and Civil Law Systems

Contract Law Terminology

Exploring the Legal Concepts of Agency and Fiduciary Duty

Understanding Key Legal Concepts in Sales and Contracts

Understanding the Terminology of Banking and Finance: Key Concepts and Definitions

Exploring Legal Concepts and Processes in Business Partnerships

Understanding Corporate Law: A Guide to Ultra Vires Acts, Subscribers, Debt Securities, and More

Understanding Key Terms in Secured Transactions and Bankruptcy Law

Legal Topics and Terms

Legal Topics in Property Ownership and Management