Question 1

If something must take place in the future,before a party to a contract has a duty to perform,it is a condition subsequent.

Accepted Answer

A) True 
 B)False  False

Question 2

Saddler Inc.makes high quality leather seats for racing bicycles and sells them to many of the top bicycle manufacturers.There are eight available sources of the type of leather that Saddler uses,and all of them are located in the Republic of Anaerobia.Saddler has always dealt with only one company in the Republic of Anaerobia primarily due to its reasonable cost.Zappit Inc.has a contract with Saddler for 10,000 seats.Zappit has just received a letter from Saddler explaining that due to political turmoil in Anaerobia its supplier cannot export the product.Therefore,Saddler cannot complete the contract.Which of the following is most likely to be true in this scenario?

Accepted Answer

A)  Saddler can be excused for nonperformance based on impossibility of performance. 
B)  Saddler can be excused for nonperformance based on substantial performance. 
C)  Zappit can sue for material breach, and Saddler cannot be excused for nonperformance. 
D)  Zappit can sue for specific performance if the seats are typical of all bicycle seats and not special or unique in any way. 
E)  Zappit can rightfully file a lawsuit, and Saddler will be liable to pay Zappit damages for nonperformance. 
A)  Saddler can be excused for nonperformance based on impossibility of performance. 
B)  Saddler can be excused for nonperformance based on substantial performance. 
C)  Zappit can sue for material breach, and Saddler cannot be excused for nonperformance. 
D)  Zappit can sue for specific performance if the seats are typical of all bicycle seats and not special or unique in any way. 
E)  Zappit can rightfully file a lawsuit, and Saddler will be liable to pay Zappit damages for nonperformance. A

Question 3

Briefly discuss concurrent condition of performance with an example.

Accepted Answer

When courts decide the conditions of performance,a common decision can be the parties have a simultaneous duty to perform.In essence,there is a concurrent condition of performance.In a contract for the transfer of title to land,the buyer and seller usually expect to meet at a closing event and perform their obligations concurrently.The buyer provides the necessary funds to cover the purchase price while,at the same time,the seller signs and delivers the legal documents transferring ownership.Most of our everyday purchases involve implied concurrent conditions of performance.

Question 4

Which of the following is a remedy that provides equitable relief in cases that involve an intellectual property dispute?

Accepted Answer

A)  waiver 
B)  assignment 
C)  release 
D)  injunction 
E)  novation 
A)  waiver 
B)  assignment 
C)  release 
D)  injunction 
E)  novation

Question 5

Consequential damages are awarded

Accepted Answer

A)  only when compensatory damages are not awarded. 
B)  whenever a contract is released. 
C)  whenever a contract is waived. 
D)  only if the consequence was foreseeable. 
E)  only when the cost of getting a substitute performance was higher. 
A)  only when compensatory damages are not awarded. 
B)  whenever a contract is released. 
C)  whenever a contract is waived. 
D)  only if the consequence was foreseeable. 
E)  only when the cost of getting a substitute performance was higher.

Question 6

When a party intentionally relinquishes a right to enforce a contract,it is called a(n)______.

Accepted Answer

A)  agreement 
B)  waiver 
C)  breach 
D)  disclaimer 
E)  release 
A)  agreement 
B)  waiver 
C)  breach 
D)  disclaimer 
E)  release

Question 7

What is duty of performance? When is a party to a contract discharged?

Accepted Answer

The fundamental reason anyone enters int

Question 8

Releases only occur when a contracting party fails to perform.

Accepted Answer

A) True 
 B)False

Question 9

______ is a level of performance below what is reasonably acceptable.

Accepted Answer

A)  Substantial performance 
B)  Material breach 
C)  Complete substantial breach 
D)  Partial breach 
E)  Reasonable breach 
A)  Substantial performance 
B)  Material breach 
C)  Complete substantial breach 
D)  Partial breach 
E)  Reasonable breach

Question 10

An employment contract is an example of a contract that is divisible.

Accepted Answer

A) True 
 B)False

Question 11

Sheila contracted her friend Susan to paint her house for $3,000.Sheila did this as a favor to Susan as Susan was unemployed.Before she could finish the job,however,Susan got a job at a marketing company,which meant that she could not complete her contract.As Susan is her friend,Sheila decided not to enforce the contract,and she let Susan keep the $1,000.This scenario is an example of a(n)______.

Accepted Answer

A)  arbitration 
B)  waiver 
C)  condition precedent 
D)  unjust enrichment 
E)  delegation of duties 
A)  arbitration 
B)  waiver 
C)  condition precedent 
D)  unjust enrichment 
E)  delegation of duties

Question 12

In the context of performance,the benefit of divisibility of a contract is

Accepted Answer

A)  that it does not excuse a party's nonperformance because of impossibility of performance, which may reduce the amount of disputes. 
B)  to view the duty to perform as a series of smaller contracts, which may reduce the amount of disputes. 
C)  to view the duty to perform as optional. 
D)  that it mitigates the harmful effects of rescission. 
E)  that it completely eliminates the need for arbitration and other alternative dispute resolution techniques. 
A)  that it does not excuse a party's nonperformance because of impossibility of performance, which may reduce the amount of disputes. 
B)  to view the duty to perform as a series of smaller contracts, which may reduce the amount of disputes. 
C)  to view the duty to perform as optional. 
D)  that it mitigates the harmful effects of rescission. 
E)  that it completely eliminates the need for arbitration and other alternative dispute resolution techniques.

Question 13

What is delivery? When must a buyer's payment be satisfied before the seller has the duty to deliver?

Accepted Answer

Delivery is a legal term referring to th

Question 14

Liquidated damages must be a reasonable attempt to assess actual damages in the face of uncertainty when a contract is formed.

Accepted Answer

A) True 
 B)False

Question 15

What is a condition subsequent? Briefly explain with examples.

Accepted Answer

A condition subsequent excuses contractu

Question 16

Salim has entered into a contract with Jenna to buy her land for $50,000.Salim has paid the amount in full.However,Jenna has not transferred the land to Salim.Salim decides to sue Jenna to request a court order to compel Jenna to transfer the land as per the contract.Which of the following remedies is the court most likely to enforce in this case?

Accepted Answer

A)  rescission 
B)  consequential damages 
C)  substantial performance 
D)  liquidated damages 
E)  specific performance 
A)  rescission 
B)  consequential damages 
C)  substantial performance 
D)  liquidated damages 
E)  specific performance

Question 17

According to the Uniform Commercial Code,which of the following statements is true of a destination contract?

Accepted Answer

A)  A seller satisfies its obligation to ship goods once they are transferred to the shipper for transportation. 
B)  The risk of loss for damage to the goods remains with a seller until the goods safely arrive at a buyer's destination. 
C)  If the purchased goods are damaged in transit, then a buyer is held responsible only if the buyer has paid the full amount for the purchased goods. 
D)  The risk of loss for damage to the goods is transferred to a buyer when a seller packages the goods for shipment. 
E)  A buyer assumes the risk of loss for damage to the goods from the point of sale till the goods reach the destination. 
A)  A seller satisfies its obligation to ship goods once they are transferred to the shipper for transportation. 
B)  The risk of loss for damage to the goods remains with a seller until the goods safely arrive at a buyer's destination. 
C)  If the purchased goods are damaged in transit, then a buyer is held responsible only if the buyer has paid the full amount for the purchased goods. 
D)  The risk of loss for damage to the goods is transferred to a buyer when a seller packages the goods for shipment. 
E)  A buyer assumes the risk of loss for damage to the goods from the point of sale till the goods reach the destination.

Question 18

In the context of levels of performance,substantial performance is lesser than significant performance.

Accepted Answer

A) True 
 B)False

Question 19

An exception to the parol evidence rule allows

Accepted Answer

A)  evidence of oral agreement that merely explains the meaning of written terms without changing the terms. 
B)  evidence of oral agreements made on contracts that qualify for mandatory arbitration. 
C)  evidence of oral agreements made on contracts that qualify for court-annexed mediation. 
D)  evidence of oral agreements made at the time of or prior to a written contract that changes the meaning of written terms. 
E)  evidence of oral agreements that are designed to favor the party that drafts a contract. 
A)  evidence of oral agreement that merely explains the meaning of written terms without changing the terms. 
B)  evidence of oral agreements made on contracts that qualify for mandatory arbitration. 
C)  evidence of oral agreements made on contracts that qualify for court-annexed mediation. 
D)  evidence of oral agreements made at the time of or prior to a written contract that changes the meaning of written terms. 
E)  evidence of oral agreements that are designed to favor the party that drafts a contract.

Question 20

A party that has materially breached a contract can sue the other party for performance.

Accepted Answer

A) True 
 B)False

If something must take place in the future,before a party to a contract has a duty to perform,it is a condition subsequent.

Briefly discuss concurrent condition of performance with an example.

Which of the following is a remedy that provides equitable relief in cases that involve an intellectual property dispute?

Consequential damages are awarded

When a party intentionally relinquishes a right to enforce a contract,it is called a(n)______.

What is duty of performance? When is a party to a contract discharged?

Releases only occur when a contracting party fails to perform.

______ is a level of performance below what is reasonably acceptable.

An employment contract is an example of a contract that is divisible.

In the context of performance,the benefit of divisibility of a contract is

What is delivery? When must a buyer's payment be satisfied before the seller has the duty to deliver?

Liquidated damages must be a reasonable attempt to assess actual damages in the face of uncertainty when a contract is formed.

What is a condition subsequent? Briefly explain with examples.

According to the Uniform Commercial Code,which of the following statements is true of a destination contract?

In the context of levels of performance,substantial performance is lesser than significant performance.

An exception to the parol evidence rule allows

A party that has materially breached a contract can sue the other party for performance.

Law As a Foundation for Business

The Role of Ethics in Decision Making

The Court System

Litigation

Alternative Dispute Resolution

The Constitution

The Property System

Contract Formation

Torts Affecting Business

Intellectual Property

International Law

Criminal Law and Business

Business Organizations

The Regulatory Process

Regulating Competitionantitrust Laws

Financial and Securities Regulations

Regulations Protecting Consumer Purchases, privacy, and Financial Activities

Environmental Regulation

Discrimination in Employment

Employment Laws

Labormanagement Relationship

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Exam 9: Contractual Performance and Breach

If something must take place in the future,before a party to a contract has a duty to perform,it is a condition subsequent.

Briefly discuss concurrent condition of performance with an example.

Which of the following is a remedy that provides equitable relief in cases that involve an intellectual property dispute?

Consequential damages are awarded

When a party intentionally relinquishes a right to enforce a contract,it is called a(n)______.

What is duty of performance? When is a party to a contract discharged?

Releases only occur when a contracting party fails to perform.

______ is a level of performance below what is reasonably acceptable.

An employment contract is an example of a contract that is divisible.

In the context of performance,the benefit of divisibility of a contract is

What is delivery? When must a buyer's payment be satisfied before the seller has the duty to deliver?

Liquidated damages must be a reasonable attempt to assess actual damages in the face of uncertainty when a contract is formed.

What is a condition subsequent? Briefly explain with examples.

According to the Uniform Commercial Code,which of the following statements is true of a destination contract?

In the context of levels of performance,substantial performance is lesser than significant performance.

An exception to the parol evidence rule allows

A party that has materially breached a contract can sue the other party for performance.

Law As a Foundation for Business

The Role of Ethics in Decision Making

The Court System

Litigation

Alternative Dispute Resolution

The Constitution

The Property System

Contract Formation

Torts Affecting Business

Intellectual Property

International Law

Criminal Law and Business

Business Organizations

The Regulatory Process

Regulating Competitionantitrust Laws

Financial and Securities Regulations

Regulations Protecting Consumer Purchases, privacy, and Financial Activities

Environmental Regulation

Discrimination in Employment

Employment Laws

Labormanagement Relationship

Filters