Exam 17: Performance, Breach, and Discharge

Paul, a contractor, has a contract to build a new office building for Bill.The contract contains a provision requiring Paul to furnish a certificate of occupancy from the building inspector before Bill is required to pay.This provision is:

An express condition is usually preceded by which of the following terms?

Anita, who is a seamstress, agrees to sew a suit for Bryan, who promises in return to pay Anita $500 for the suit if he is satisfied with it.Anita completes the suit, which fits Bryan perfectly.Nevertheless, he says that he is not satisfied and refuses to accept or pay for it.If Bryan is honest in his dissatisfaction, but he is unreasonable:

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

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

Marie owes Nathan $900 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.

Unless one of the parties contractually assumes the risk, the __________ discharges a contract if supervening circumstances make fulfillment of the purpose which both parties had in mind impossible.

Ashley contracted to perform on her horse, Coronation, in the opening ceremonies of the World Equestrian Games.If, before the event, Coronation pulls a tendon in its leg and Ashley has to cancel her appearance, this is a case of:

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.

The majority of courts hold that the running of the statute of limitations operates to discharge a contract.

If the performance of a contract that was legal when formed becomes illegal because of a subsequently enacted law, the duty of performance is discharged.

Which of the following is a contract with a condition subsequent?

Explain what may constitute a material breach and list the several basic principles that must be applied to determine if a material breach exists in a given contract.

Robert and John entered into a bilateral contract and Robert has fully performed.Their mutual rescission of the contract is binding at common law.

Objective impossibility occurs if a particular contracting party is unable to perform because of financial inability or lack of competence.

If the contract does not state otherwise, standard goods under a contract for sale to meet the satisfaction of the buyer must:

Sid contracts to put new kitchen cabinets in Ned's house.Sid repeatedly tries to install the cabinets, but Ned does not grant him access to the house.In this case:

Implied-in-fact conditions must fully and literally occur, and they are understood by the parties to be part of the agreement.

A material breach by the seller will discharge the buyer from his obligations under a contract.

A breach of contract always gives rise to a cause of action for damages by the injured party.