Question 1

A severable contract is useful because it permits a party who has failed to complete their obligations a claim for what has been done.

Accepted Answer

A) True 
 B)False

Question 2

In Re Moore & Co and Landauer & Co a contract was held not to be discharged because the canned food was not packaged as agreed.

Accepted Answer

A) True 
 B)False  True

Question 3

What is the meaning of the doctrine of substantial performance?

Accepted Answer

A)   That almost complete performance will necessitate payment minus damages
B)   That unless 100% performance is achieved, no payment is needed
C)   That unless 70% performance is achieved, no payment is needed
D)   That once performance has begun, payment needs to be made minus damages

Question 4

How do the Principles of European Contract Law deal with issues of non-performance?

Accepted Answer

The Principles of European Contract Law ...

Question 5

A contract is breached when:

Accepted Answer

A)   One of the parties does not perform
B)   One of the parties does not perform without a lawful excuse
C)   Both parties decide to abandon the contract
D)   The contract has been frustrated

Question 6

Intermediate terms could be regarded as bringing about uncertainty. In which contracts have the courts sought to avoid this uncertainty and how has this been achieved?

Accepted Answer

In contracts, courts have sought to avoi...

Question 7

What is the effect of an anticipatory breach?

Accepted Answer

An anticipatory breach, also known as an anticipatory repudiation, occurs when one party to a contract indicates that they will not fulfill their contractual obligations before they are due to perform. This can be done either through a clear statement of intent not to perform or through actions that make it unmistakably clear that the party will not be able to perform when performance is due.

The effect of an anticipatory breach is significant for both parties involved in the contract. Here are some of the key consequences:

1. **Right to Immediate Action**: The non-breaching party does not have to wait until the performance is due to take action. They can treat the anticipatory breach as an immediate breach and seek remedies for breach of contract, such as suing for damages or seeking specific performance, if appropriate.

2. **Suspension of Performance**: The non-breaching party is generally entitled to suspend their own performance under the contract since they no longer have the assurance that the other party will fulfill their obligations.

3. **Option to Terminate**: The non-breaching party may choose to terminate the contract and seek damages for the breach. This can prevent them from being bound to a contract that the other party has indicated they will not honor.

4. **Mitigation of Damages**: The non-breaching party has a duty to mitigate damages. This means they should take reasonable steps to reduce their losses resulting from the breach. For example, if the contract involves the sale of goods, the non-breaching party may need to find another buyer to avoid further losses.

5. **Demand for Adequate Assurance**: In some cases, if there is a reasonable belief that an anticipatory breach may occur, the concerned party may demand adequate assurance from the other party that they will perform as agreed. If such assurance is not provided within a reasonable time, this may be treated as an anticipatory breach.

6. **Reliance Damages**: If the non-breaching party has incurred costs in reliance on the contract being fulfilled, they may be able to recover these reliance damages from the breaching party.

7. **Loss of Contractual Benefits**: The breaching party loses the benefits they would have received had they performed the contract as agreed.

8. **Reputational Damage**: The party that commits an anticipatory breach may suffer reputational damage, which can affect their business relationships and opportunities in the future.

It's important to note that the specific effects and remedies available can vary depending on the jurisdiction and the terms of the contract. Parties dealing with an anticipatory breach should consult with legal counsel to understand their rights and obligations under the law and the contract.

Question 8

What is the consequence of a breach of a contractual warranty?

Accepted Answer

A)   It enables the injured party to sue for damages
B)   It enables the injured party to sue for damages or terminate the contract
C)   It enables the injured party to sue for damages and terminate the contract
D)   It enables the injured party to terminate the contract A

Question 9

Generally, a party who has failed to fully perform all obligations may not claim for having fulfilled any obligations.

Accepted Answer

A) True 
 B)False

Question 10

Given the more flexible attitude that has emerged from the courts in respect of certain aspects of contract law is it right that a contract can still only be discharged by performing obligations to the letter of the agreement?

Accepted Answer

The more flexible attitude that has emer...

Question 11

Which of the following statements on the difference between termination and rescission for breach of contract is false?

Accepted Answer

A)   Termination renders the contract void ab initio
B)   Rescission renders the contract void ab initio
C)   Termination has differences from rescission in the assessment of damages
D)   Termination and rescission bring a contract to an end

Question 12

Which of the following cases involve an acceptance of partial contractual performance?

Accepted Answer

A)   Sumpter v Hedges
B)   Christy v Row
C)   Bolton v Mahadeva 
D)   Hoenig v Isaacs

Question 13

Agnes has a contract to produce business cards for Yosef, but before production starts Yosef notifies her that he no longer requires the cards. Which of the following actions she is not entitled to follow?

Accepted Answer

A)   Treat the contract as repudiated
B)   Treat the contract as repudiated and sue for damages
C)   Produce the cards and send Yosef the bill
D)   Charge Yosef the full amount immediately

Question 14

Which of the following statements is correct?

Accepted Answer

A)   A breach of warranty is a more serious breach than a breach of condition
B)   A breach of condition is a more serious breach than a breach of warranty
C)   Both breaches are equally serious
D)   Neither breaches are serious, it is only a breach of an intermediate term that constitutes a serious breach

Question 15

The general rule is that a contract is discharged by performance only where the parties have performed their obligations exactly as they are set out in the contract.

Accepted Answer

A) True 
 B)False

Question 16

A repudiatory breach of a contract will usually bring a contract to an end whether or not that is the intention of the parties.

Accepted Answer

A) True 
 B)False

Question 17

Terms implied by the Sale of Goods Act are categorised as conditions and warranties.

Accepted Answer

A) True 
 B)False

Question 18

If the victim of a repudiatroy breach does not repudiate a contract then they will be deemed to have done what?

Accepted Answer

A)   Raised an estoppel
B)   Consolidated the contract
C)   Re-affirmed the contract
D)   Affirmed the contract

Question 19

When one party indicates to another that they do not intend to perform their outstanding obligations under a contract this is referred to as what?

Accepted Answer

A)   Advanced repudiation
B)   Anticipatory breach
C)   Pre-emptive breach
D)   Repudiatory breach

Question 20

Where one party prevents the other from completing the obligations under an entire contract, the party who has partly performed will be able to recover on what basis for the work already done?

Accepted Answer

A)   Res extincta
B)   Quantus quorum
C)   Quantum meruit
D)   the entire obligations rule

Exam 14: Discharge by Performance or Breach

A severable contract is useful because it permits a party who has failed to complete their obligations a claim for what has been done.

Correct Answer
verified

In Re Moore & Co and Landauer & Co a contract was held not to be discharged because the canned food was not packaged as agreed.

Correct Answer
verified
True

What is the meaning of the doctrine of substantial performance?

Correct Answer
verified

How do the Principles of European Contract Law deal with issues of non-performance?

Correct Answer
Answered by ExamLex AI
The Principles of European Contract Law ...
View Answer

A contract is breached when:

Correct Answer
verified

Intermediate terms could be regarded as bringing about uncertainty. In which contracts have the courts sought to avoid this uncertainty and how has this been achieved?

Correct Answer
Answered by ExamLex AI
In contracts, courts have sought to avoi...
View Answer

What is the effect of an anticipatory breach?

What is the consequence of a breach of a contractual warranty?

Correct Answer
verified
A

Generally, a party who has failed to fully perform all obligations may not claim for having fulfilled any obligations.

Correct Answer
verified

Given the more flexible attitude that has emerged from the courts in respect of certain aspects of contract law is it right that a contract can still only be discharged by performing obligations to the letter of the agreement?

Correct Answer
Answered by ExamLex AI
The more flexible attitude that has emer...
View Answer

Which of the following statements on the difference between termination and rescission for breach of contract is false?

Correct Answer
verified

Which of the following cases involve an acceptance of partial contractual performance?

Correct Answer
verified

Agnes has a contract to produce business cards for Yosef, but before production starts Yosef notifies her that he no longer requires the cards. Which of the following actions she is not entitled to follow?

Correct Answer
verified

Which of the following statements is correct?

Correct Answer
verified

The general rule is that a contract is discharged by performance only where the parties have performed their obligations exactly as they are set out in the contract.

Correct Answer
verified

A repudiatory breach of a contract will usually bring a contract to an end whether or not that is the intention of the parties.

Correct Answer
verified

Terms implied by the Sale of Goods Act are categorised as conditions and warranties.

Correct Answer
verified

If the victim of a repudiatroy breach does not repudiate a contract then they will be deemed to have done what?

Correct Answer
verified

When one party indicates to another that they do not intend to perform their outstanding obligations under a contract this is referred to as what?

Correct Answer
verified

Where one party prevents the other from completing the obligations under an entire contract, the party who has partly performed will be able to recover on what basis for the work already done?

Correct Answer
verified

Exam 14: Discharge by Performance or Breach

A severable contract is useful because it permits a party who has failed to complete their obligations a claim for what has been done.

Correct AnswerverifiedShow Answer

In Re Moore & Co and Landauer & Co a contract was held not to be discharged because the canned food was not packaged as agreed.

Correct AnswerverifiedTrue

What is the meaning of the doctrine of substantial performance?

Correct AnswerverifiedShow Answer

How do the Principles of European Contract Law deal with issues of non-performance?

Correct AnswerAnswered by ExamLex AIThe Principles of European Contract Law ...View AnswerShow Answer

A contract is breached when:

Correct AnswerverifiedShow Answer

Intermediate terms could be regarded as bringing about uncertainty. In which contracts have the courts sought to avoid this uncertainty and how has this been achieved?

Correct AnswerAnswered by ExamLex AIIn contracts, courts have sought to avoi...View AnswerShow Answer

What is the effect of an anticipatory breach?

What is the consequence of a breach of a contractual warranty?

Correct AnswerverifiedA

Generally, a party who has failed to fully perform all obligations may not claim for having fulfilled any obligations.

Correct AnswerverifiedShow Answer

Given the more flexible attitude that has emerged from the courts in respect of certain aspects of contract law is it right that a contract can still only be discharged by performing obligations to the letter of the agreement?

Correct AnswerAnswered by ExamLex AIThe more flexible attitude that has emer...View AnswerShow Answer

Which of the following statements on the difference between termination and rescission for breach of contract is false?

Correct AnswerverifiedShow Answer

Which of the following cases involve an acceptance of partial contractual performance?

Correct AnswerverifiedShow Answer

Agnes has a contract to produce business cards for Yosef, but before production starts Yosef notifies her that he no longer requires the cards. Which of the following actions she is not entitled to follow?

Correct AnswerverifiedShow Answer

Which of the following statements is correct?

Correct AnswerverifiedShow Answer

The general rule is that a contract is discharged by performance only where the parties have performed their obligations exactly as they are set out in the contract.

Correct AnswerverifiedShow Answer

A repudiatory breach of a contract will usually bring a contract to an end whether or not that is the intention of the parties.

Correct AnswerverifiedShow Answer

Terms implied by the Sale of Goods Act are categorised as conditions and warranties.

Correct AnswerverifiedShow Answer

If the victim of a repudiatroy breach does not repudiate a contract then they will be deemed to have done what?

Correct AnswerverifiedShow Answer

When one party indicates to another that they do not intend to perform their outstanding obligations under a contract this is referred to as what?

Correct AnswerverifiedShow Answer

Where one party prevents the other from completing the obligations under an entire contract, the party who has partly performed will be able to recover on what basis for the work already done?

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified
True

Correct Answer
verified

Correct Answer
Answered by ExamLex AI
The Principles of European Contract Law ...
View Answer

Correct Answer
verified

Correct Answer
Answered by ExamLex AI
In contracts, courts have sought to avoi...
View Answer

Correct Answer
verified
A

Correct Answer
verified

Correct Answer
Answered by ExamLex AI
The more flexible attitude that has emer...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
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