Deck 7: Torts, Specific Contracts and Clauses

Question 1

Owners can increase price certainty in fixed-cost contracts by requiring the contractor to bear more risk.

Answer 1

True

Question 2

Why is the name of fixed-price contracts somewhat misleading?

Answer 2

Under a fixed-price contract, the owner rarely pays just the fixed price. Typically, design changes or contractor claims result in price increases.

Question 3

The public-private partnership model is most similar to which other model?

A) cost-plus
B) alliance
C) design-bid-build
D) construction management

Answer 3

alliance

Question 4

Which of the following is false regarding the issue of time under a contract?

A) typically, time is of the essence for both parties
B) since the contractor will be liable for late completion, only he need be concerned with the feasibility of the construction schedule
C) when scheduling, minor tasks should be given as much consideration as major tasks
D) all of the above

Question 5

Which is the typical sequence in which dispute resolution options are tried?

A) negotiation, mediation, arbitration
B) mediation, negotiation, arbitration
C) negotiation, arbitration, mediation
D) arbitration, negotiation, mediation

Question 6

A contractor who builds a house and then sells it to the first owner will generally not be contractually liable to the second owner of the property for defective construction.

Question 7

What is the key difference between obligations imposed under tort law compared to those imposed under contract law?

Question 8

Between which of the following parties is there clearly a duty of care for negligence?

A) an architect and a contractor
B) a geoscientist and an investor who inadvertently obtains a copy of the geoscientist's report
C) a car manufacturer and the owner of the car
D) none of the above

Question 9

To establish causation, the plaintiff must show that:

A) the defendant owed a duty to the plaintiff and breached that duty
B) but for the breach of duty by the defendant, the loss would not have occurred, and that the defendant's breach was the proximate cause of the loss
C) the plaintiff took all reasonable steps to prevent the loss after the defendant breached his duty to the plaintiff, and that the defendant's breach was the proximate cause of the loss
D) none of the above

Question 10

Which of the following is a strict liability tort?

A) breach of confidence
B) nuisance
C) negligence
D) negligent misrepresentation

Question 11

"A" mistakenly builds his farm boundary fence 5 cm beyond his property boundary such that it is on his neighbour's property. His neighbour, "B", sues for trespass. Will B's claim succeed? What remedy will the court likely grant to B? (Hint: consider public policy)