Question 1

Explain how a contract can be discharged by agreement.

Accepted Answer

Students should begin by explaining that

Question 2

Which of the following is false with regard to ending contracts and remedies?

Accepted Answer

A)  If Lori incurred costs in preparing to perform a contract that is ended by frustration, the court can allow Lori to keep some of the deposit paid by the other party to help cover those costs. 
B)  If a person ignores a court order (e.g., an injunction), he could be cited for contempt of court. 
C)  A breach of condition allows the party who suffers the breach to terminate the contract. 
D)  The equitable remedy of specific performance is available in those situations where monetary compensation would not be adequate. 
E)  The term "condition precedent" refers to a clause in a contract that brings the contractual obligations of the parties to an end upon the happening of some specific event. 
A)  If Lori incurred costs in preparing to perform a contract that is ended by frustration, the court can allow Lori to keep some of the deposit paid by the other party to help cover those costs. 
B)  If a person ignores a court order (e.g., an injunction), he could be cited for contempt of court. 
C)  A breach of condition allows the party who suffers the breach to terminate the contract. 
D)  The equitable remedy of specific performance is available in those situations where monetary compensation would not be adequate. 
E)  The term "condition precedent" refers to a clause in a contract that brings the contractual obligations of the parties to an end upon the happening of some specific event.

Question 3

Explain how the remedy of damages is applied in contract law and any limitation on the availability of damages.

Accepted Answer

The idea here is that students should un

Question 4

What is the result of a breach of a significant term of a contract where there is a minor failure to perform?

Accepted Answer

The other party must

Question 5

Which of the following is one of the remedies generally available for a breach of contract?

Accepted Answer

A)  Repudiation 
B)  Specific performance 
C)  Punitive damages 
D)  Anticipatory breach 
E)  Novation 
A)  Repudiation 
B)  Specific performance 
C)  Punitive damages 
D)  Anticipatory breach 
E)  Novation

Question 6

Which of the following would most likely result in the court finding the contract had been discharged by frustration?

Accepted Answer

A)  Cooper contracts to deliver ten bushels of ripe tomatoes to Haig's restaurant, but Cooper's tomato crop is destroyed by hail a few days before the delivery date. 
B)  McGee contracts to give a lecture at a convention on modern marketing, but the convention is cancelled because of an epidemic. 
C)  Moore, a sculptor, was delivering a $15,000 work when he lost control of the car and the work was crushed. He had been drinking heavily and had not bothered to wrap or box the work. 
D)  Binks agreed to purchase a business from Kealy, but Binks suffered such great losses in the recent stock market crash that he couldn't afford to go through with it. 
E)  McDonald agreed to buy Thornburn's horse, but unknown to both of them, at the time the contract was made the horse was dead. 
A)  Cooper contracts to deliver ten bushels of ripe tomatoes to Haig's restaurant, but Cooper's tomato crop is destroyed by hail a few days before the delivery date. 
B)  McGee contracts to give a lecture at a convention on modern marketing, but the convention is cancelled because of an epidemic. 
C)  Moore, a sculptor, was delivering a $15,000 work when he lost control of the car and the work was crushed. He had been drinking heavily and had not bothered to wrap or box the work. 
D)  Binks agreed to purchase a business from Kealy, but Binks suffered such great losses in the recent stock market crash that he couldn't afford to go through with it. 
E)  McDonald agreed to buy Thornburn's horse, but unknown to both of them, at the time the contract was made the horse was dead.

Question 7

Under what circumstances will a court order a mandatory injunction? Illustrate with a real-world example.

Accepted Answer

In rare circumstances, the courts may is

Question 8

Harry agreed to make a new violin for Ted at a particularly attractive price. Before he finished crafting it, however, an opportunity arose to work as a salesman for Joe's Fine Cars. Since it was clear that he could never make a living as a violin maker, he took the job and refused to finish the violin for Ted. Which of the following is the appropriate remedy in these circumstances?

Accepted Answer

A)  Specific performance 
B)  Damages 
C)  Injunction 
D)  No remedy 
E)  Rescission 
A)  Specific performance 
B)  Damages 
C)  Injunction 
D)  No remedy 
E)  Rescission

Question 9

Explain the principle of mitigation in contract law.

Accepted Answer

The victim of a breach of contract has a

Question 10

Monroe sold computers. On the purchase of a new StarSystem computer the buyer signed the written contract that contained the following clause: "The seller is not liable for any breach of condition or warranty express or implied in this contract." The buyer was a businessman who intended to use the machine in his business for a while and then resell it. The machine was used properly but didn't operate well, and within one week it would not work at all. Monroe refused to take back the machine or to refund any money by relying on the exemption clause. Which of the following would be the buyer's best argument for avoiding the effect of the exemption clause in this case?

Accepted Answer

A)  Such clauses are prohibited under contract law and are therefore void. 
B)  The buyer had no notice of the clause; therefore, it is not a term of the contract. 
C)  On a narrow interpretation of the words used in the exemption clause, they do not cover his complaint. 
D)  There is a fundamental breach of contract. 
E)  There is a breach of a non-essential term of the contract. 
A)  Such clauses are prohibited under contract law and are therefore void. 
B)  The buyer had no notice of the clause; therefore, it is not a term of the contract. 
C)  On a narrow interpretation of the words used in the exemption clause, they do not cover his complaint. 
D)  There is a fundamental breach of contract. 
E)  There is a breach of a non-essential term of the contract.

Question 11

What is the three-part test for determining if novation has occurred?

Accepted Answer

1) The new debtor must assume the comple

Question 12

A contract is terminated by agreement in which of the following situations?

Accepted Answer

A)  Breach 
B)  Frustration 
C)  Unilateral release 
D)  A written statement by one party to cancel an accepted order 
E)  The occurrence of a condition subsequent 
A)  Breach 
B)  Frustration 
C)  Unilateral release 
D)  A written statement by one party to cancel an accepted order 
E)  The occurrence of a condition subsequent

Question 13

Discuss how and why promissory estoppel might come into play when a contract is being discharged or changed by agreement.

Accepted Answer

Promissory estoppel is one of the most d

Question 14

What is the importance of the distinction between a breach of warranty and a breach of condition?

Accepted Answer

When one of parties breaches a condition

Question 15

Explain the injunction as it is available in contract law.

Accepted Answer

The breaching party is ordered

Question 16

What does it mean when a party has "tendered performance"?

Accepted Answer

A tender of performance is an

Question 17

What is the result of a breach of a minor contractual term?

Accepted Answer

The other party must

Question 18

Which of the following is false with regard to ending a contract by agreement?

Accepted Answer

A)  A contract can be ended by the happening of a "condition subsequent" provided for in the contract. 
B)  A contract can be ended by one party if he finds a better deal (e.g., by cancelling an order that has been accepted), as long as this is done before performance. 
C)  A contract can be ended by agreement if neither party to the contract has performed his or her obligation. 
D)  A contract can be ended by agreement if one party has performed his obligation and agrees to take something as satisfaction from the other although that other hasn't performed according to the contract. 
E)  A contract can be ended by agreement by "mutual release." 
A)  A contract can be ended by the happening of a "condition subsequent" provided for in the contract. 
B)  A contract can be ended by one party if he finds a better deal (e.g., by cancelling an order that has been accepted), as long as this is done before performance. 
C)  A contract can be ended by agreement if neither party to the contract has performed his or her obligation. 
D)  A contract can be ended by agreement if one party has performed his obligation and agrees to take something as satisfaction from the other although that other hasn't performed according to the contract. 
E)  A contract can be ended by agreement by "mutual release."

Question 19

Explain what is meant by an accounting as a remedy in contract law.

Accepted Answer

The accounting is a remedy whereby the c

Question 20

Which of the following is true with regard to ending a contract by performance, agreement, or breach?

Accepted Answer

A)  A contract can be ended by breach if there was a either a breach of condition or a breach of warranty. 
B)  A person has legally tendered performance if he pays a $500 debt in 25-cent coins. 
C)  If a person properly tenders performance of a service that is rejected by the other party, he is required to try again and again. 
D)  A contract ends by agreement when the parties include in the contract a "condition subsequent," i.e., a clause that says the contract will end upon the happening of a specified future event that then takes place. 
E)  If one party to the contract has paid for a service, but now the other doesn't want to perform, the contract is ended by agreement as long as they both agree to call it off. 
A)  A contract can be ended by breach if there was a either a breach of condition or a breach of warranty. 
B)  A person has legally tendered performance if he pays a $500 debt in 25-cent coins. 
C)  If a person properly tenders performance of a service that is rejected by the other party, he is required to try again and again. 
D)  A contract ends by agreement when the parties include in the contract a "condition subsequent," i.e., a clause that says the contract will end upon the happening of a specified future event that then takes place. 
E)  If one party to the contract has paid for a service, but now the other doesn't want to perform, the contract is ended by agreement as long as they both agree to call it off.

Explain how a contract can be discharged by agreement.

Which of the following is false with regard to ending contracts and remedies?

Explain how the remedy of damages is applied in contract law and any limitation on the availability of damages.

What is the result of a breach of a significant term of a contract where there is a minor failure to perform?

Which of the following is one of the remedies generally available for a breach of contract?

Which of the following would most likely result in the court finding the contract had been discharged by frustration?

Under what circumstances will a court order a mandatory injunction? Illustrate with a real-world example.

Explain the principle of mitigation in contract law.

What is the three-part test for determining if novation has occurred?

A contract is terminated by agreement in which of the following situations?

Discuss how and why promissory estoppel might come into play when a contract is being discharged or changed by agreement.

What is the importance of the distinction between a breach of warranty and a breach of condition?

Explain the injunction as it is available in contract law.

What does it mean when a party has "tendered performance"?

What is the result of a breach of a minor contractual term?

Which of the following is false with regard to ending a contract by agreement?

Explain what is meant by an accounting as a remedy in contract law.

Which of the following is true with regard to ending a contract by performance, agreement, or breach?

Managing Your Legal Affairs

Introduction to the Legal System

The Resolution of Disputes: the Courts and Alternatives to Litigation

Intentional Torts and Torts Impacting Business

Negligence, Professional Liability, and Insurance

The Elements of a Contract: Consensus and Consideration

The Elements of a Contract: Capacity, Legality, and Intention

Factors Affecting the Contractual Relationship

Agency and Partnership

Corporations

Employment

Intellectual Property

Real and Personal Property and Protection of the Environment

Priority of Creditors

Sales and Consumer Protection

Filters

Exam 9: The End of the Contractual Relationship

Explain how a contract can be discharged by agreement.

Which of the following is false with regard to ending contracts and remedies?

Explain how the remedy of damages is applied in contract law and any limitation on the availability of damages.

What is the result of a breach of a significant term of a contract where there is a minor failure to perform?

Which of the following is one of the remedies generally available for a breach of contract?

Which of the following would most likely result in the court finding the contract had been discharged by frustration?

Under what circumstances will a court order a mandatory injunction? Illustrate with a real-world example.

Explain the principle of mitigation in contract law.

What is the three-part test for determining if novation has occurred?

A contract is terminated by agreement in which of the following situations?

Discuss how and why promissory estoppel might come into play when a contract is being discharged or changed by agreement.

What is the importance of the distinction between a breach of warranty and a breach of condition?

Explain the injunction as it is available in contract law.

What does it mean when a party has "tendered performance"?

What is the result of a breach of a minor contractual term?

Which of the following is false with regard to ending a contract by agreement?

Explain what is meant by an accounting as a remedy in contract law.

Which of the following is true with regard to ending a contract by performance, agreement, or breach?

Managing Your Legal Affairs

Introduction to the Legal System

The Resolution of Disputes: the Courts and Alternatives to Litigation

Intentional Torts and Torts Impacting Business

Negligence, Professional Liability, and Insurance

The Elements of a Contract: Consensus and Consideration

The Elements of a Contract: Capacity, Legality, and Intention

Factors Affecting the Contractual Relationship

Agency and Partnership

Corporations

Employment

Intellectual Property

Real and Personal Property and Protection of the Environment

Priority of Creditors

Sales and Consumer Protection

Filters