Exam 14: Performance and Discharge

Carol enters into a contract to hire Joanne to paint a portrait of Carol's favorite cat. Joanne agrees to do the portrait to Carol's satisfaction for $100. When Joanne finishes the portrait, Carol announces that she is not satisfied with the portrait because it does not look like her cat. Carol

In all contracts, absolute promises are expressly conditioned.

Only personal contracts can be discharged by agreement of the parties.

Floors n' More, Inc., hires Gordon to renovate Floors n' Mores showroom. Gordon sub?mits plans that Floors n' More approves. Gordon completes the major recon?struction, paints the interior, and buys the fixtures and furnishings. Floors n' More rejects some of these items because they do not match the plans, and subsequently refuses to allow Gordon to finish the work or to col?lect payment. Could Gordon sue successfully for payment for the entire contract?

A novation occurs when there is a substitution, by agreement, of a new contract for an old one, with the rights under the old one being terminated.

A party is entitled to cancel a contract based on the other party's material breach.

When an anticipatory repudiation occurs, it is treated as a material breach of a contract.

Kali contracts to sell Leony her car for $3,000. This contract will be fully discharged when Kali and Leony

The most common way to discharge one's contractual duties is by breach of contract.

Herb's Hot Dog Vending, Inc., enters into a contract to pay Idris for a business survey and review of Herb's competitors, which Idris delivers on August 1. Herb's offer, on the same date, to pay Idris is

A condition that must be fulfilled before a party's performance can be required is a subsequent condition.

Performance can be accomplished by tender.