Question 1

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

Accepted Answer

A) True 
 B)False

Question 2

Al owes Tracy $500, due June 1. Al, Tracy, and Ted mutually agree that Ted will pay Tracy instead of paying Al the money Ted owes Al. Such an agreement is an example of:

Accepted Answer

A)  an accord. 
B)  a novation. 
C)  a satisfaction. 
D)  a rescission. 
A)  an accord. 
B)  a novation. 
C)  a satisfaction. 
D)  a rescission.

Question 3

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

Accepted Answer

A)  While. 
B)  After. 
C)  Provided that. 
D)  All of these. 
A)  While. 
B)  After. 
C)  Provided that. 
D)  All of these.

Question 4

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

Accepted Answer

A) True 
 B)False

Question 5

A condition subsequent is a much more frequent occurrence than a condition precedent.

Accepted Answer

A) True 
 B)False

Question 6

In the case of Hochster v. De La Tour the plaintiff was allowed to treat the repudiation by De La Tour as breach of contract and immediately bring suit.

Accepted Answer

A) True 
 B)False

Question 7

Steven owes Theresa $100 for a used computer which he bought last year at Theresa's garage sale. The two agree that the debt can be paid by Steven's shoveling Theresa's driveway from January through March. The new contract is a(n):

Accepted Answer

A)  accord. 
B)  satisfaction. 
C)  novation. 
D)  rescission. 
A)  accord. 
B)  satisfaction. 
C)  novation. 
D)  rescission.

Question 8

Russell and Joe make a contract for Russell to manufacture five leather chairs of a specified design. Prior to their manufacture, the factory is destroyed in an accidental fire that is no one's fault. If the chairs are available from other sources:

Accepted Answer

A)  Russell must supply the chairs, even if he must buy them elsewhere. 
B)  Russell's duty to deliver the chairs is discharged by the destruction of the factory. 
C)  Russell has materially breached the contract if he fails to deliver the chairs. 
D)  (a) and (c) are correct. 
A)  Russell must supply the chairs, even if he must buy them elsewhere. 
B)  Russell's duty to deliver the chairs is discharged by the destruction of the factory. 
C)  Russell has materially breached the contract if he fails to deliver the chairs. 
D)  (a) and (c) are correct.

Question 9

A person who has made a financially unsound contract may be relieved from performance under the doctrine of commercial impracticability.

Accepted Answer

A) True 
 B)False

Question 10

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:

Accepted Answer

A)  Bryan must pay for the suit even if he is dissatisfied. 
B)  this is an illusory contract, because only Anita is bound. 
C)  Bryan's approval is to be judged by an objective standard. 
D)  Anita has no recourse against Bryan, because she agreed to the subjective standard. 
A)  Bryan must pay for the suit even if he is dissatisfied. 
B)  this is an illusory contract, because only Anita is bound. 
C)  Bryan's approval is to be judged by an objective standard. 
D)  Anita has no recourse against Bryan, because she agreed to the subjective standard.

Exam 17: Performance, Breach, and Discharge

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

Al owes Tracy $500, due June 1. Al, Tracy, and Ted mutually agree that Ted will pay Tracy instead of paying Al the money Ted owes Al. Such an agreement is an example of:

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

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

A condition subsequent is a much more frequent occurrence than a condition precedent.

In the case of Hochster v. De La Tour the plaintiff was allowed to treat the repudiation by De La Tour as breach of contract and immediately bring suit.

Steven owes Theresa $100 for a used computer which he bought last year at Theresa's garage sale. The two agree that the debt can be paid by Steven's shoveling Theresa's driveway from January through March. The new contract is a(n):

Russell and Joe make a contract for Russell to manufacture five leather chairs of a specified design. Prior to their manufacture, the factory is destroyed in an accidental fire that is no one's fault. If the chairs are available from other sources:

A person who has made a financially unsound contract may be relieved from performance under the doctrine of commercial impracticability.

Introduction to Law

Business Ethics

Civil Dispute Resolution

Constitutional Law

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

Introduction to Sales and Leases

Performance

Transfer of Title and Risk of Loss

Product Liability: Warranties and Strict Liability

Sales Remedies

Form and Content

Transfer and Holder in Due Course

Liability of Parties

Bank Deposits, Collections, and Funds Transfers

Relationship of Principal and Agent

Relationship With Third Parties

Formation and Internal Relations of General Partnerships

Operation and Dissolution of General Partnerships

Limited Partnerships and Limited Liability Companies

Nature and Formation of Corporations

Financial Structure of Corporations

Management Structure of Corporations

Fundamental Changes of Corporations

Secured Transactions and Suretyship

Bankruptcy

Securities Regulation

Intellectual Property

Employment Law

Antitrust

Accountants Legal Liability

Consumer Protection

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 Wills

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