Question 1

Renew Turf Inc. enters into a contract with Sports Park to provide surface material for Sports Park's baseball field by a certain date. The contract specifies an amount to be paid if Renew breaches the deal. This clause is enforceable if the amount is

Accepted Answer

A)  meant to pay for additional work in the event of damage.
B)  a reasonable estimate of the loss on the breach.
C)  designed to penalize Renew.
D)  intended to quickly provide cash to Sports Park.E) None of the above
F) A) and B)

Question 2

Lunch Truck Inc. contracts to deliver and serve Meal Catering Service's products to its clients for $5,000 per event, payable in advance. Meal pays the money, but Lunch fails to perform. Can Meal rescind the contract? Can Meal also obtain restitution? What does it mean to "rescind" a contract? How is a contract rescinded? What is restitution? How is restitution accomplished? Explain.

Accepted Answer

Yes, Meal can rescind the contract and o...

Question 3

Between parties in equal bargaining positions, a contract provision that states no damages can be recovered for certain types of breaches may be enforced.

Accepted Answer

A) True 
 B)False

Question 4

Lyn orally contracts to sell five acres of timber to Mountain Mill LLC. The buyer harvests the trees but fails to remit the full price. Because of the lack of a written contract, Lyn could most likely recover on a theory of

Accepted Answer

A)  none of the choices.
B)  restitution.
C)  specific performance.
D)  quasi contract.E) B) and D)
F) A) and D)

Question 5

Berry Farm hires Chun to repair its irrigation system on site by a certain date for $2,500, but Chun fails to perform. Berry Farm hires Diego to do the job for $2,000. In a suit for breach, Berry Farm may recover from Chun

Accepted Answer

A)  nothing-there is only a technical injury.
B)  compensatory damages.
C)  punitive damages.
D)  nominal damages.E) A) and D)
F) A) and C)

Question 6

Liquidated damages provisions normally are unenforceable.

Accepted Answer

A) True 
 B)False

Question 7

Bee is an employee of Credit Agency Inc. On the termination of Bee's position, Credit pays Bee $10,000 to agree not to disclose the employer's confidential information. Later, Bee sells the information to Debt Records LLC for $100,000. In a suit for breach, Credit is most likely to recover

Accepted Answer

A)  $10,000 from Bee.
B)  $110,000 from Bee.
C)  $100,000 from Debt.
D)  all future profits from Debt.E) All of the above
F) A) and B)

Question 8

On the breach of a contract for a sale of land when the seller has sold the property to someone else, an award of specific performance is unavailable.

Accepted Answer

A) True 
 B)False

Question 9

Bagels Bakery enters into a contract with Cineplex for discounted tickets for Bagels's employees. When Cineplex does not provide the tickets, Bagels enters into a contract with DigiMovies for the same service at a lower price. In a suit for breach, Bagels might be awarded nominal damages to

Accepted Answer

A)  establish, as a matter of principle, that Cineplex acted wrongfully.
B)  provide Bagels with funds for a foreseeable loss beyond the contract.
C)  provide Bagels with funds for its loss of the bargain.
D)  punish Cineplex and set an example to deter others from similar acts.E) A) and B)
F) B) and D)

Question 10

The function of a quasi contract is to impose a legal obligation on a party who purposely failed to fulfill an express promise.

Accepted Answer

A) True 
 B)False

Question 11

The failure of one party to perform under a contract entitles the other party to rescind the contract.

Accepted Answer

A) True 
 B)False

Question 12

Faiz enters into a contract to buy 350 acres from Grain Farm to cultivate hops and open a brewery. Faiz fails to make the purchase. Grain Farm's remedy is most likely

Accepted Answer

A)  the amount that Faiz expected to invest in the brewery.
B)  a percentage of Faiz's unrealized profit.
C)  the difference between the contract and market prices of the land.
D)  nothing-Grain Farm still owns the land.E) A) and C)
F) B) and C)

Exam 19: Breachapter of Contract and Remedies

Bee is an employee of Credit Agency Inc. On the termination of Bee's position, Credit pays Bee $10,000 to agree not to disclose the employer's confidential information. Later, Bee sells the information to Debt Records LLC for $100,000. In a suit for breach, Credit is most likely to recover

Correct Answer
verified

Between parties in equal bargaining positions, a contract provision that states no damages can be recovered for certain types of breaches may be enforced.

Correct Answer
verified

Faiz enters into a contract to buy 350 acres from Grain Farm to cultivate hops and open a brewery. Faiz fails to make the purchase. Grain Farm's remedy is most likely

Correct Answer
verified

The failure of one party to perform under a contract entitles the other party to rescind the contract.

Correct Answer
verified

Lyn orally contracts to sell five acres of timber to Mountain Mill LLC. The buyer harvests the trees but fails to remit the full price. Because of the lack of a written contract, Lyn could most likely recover on a theory of

Correct Answer
verified

Renew Turf Inc. enters into a contract with Sports Park to provide surface material for Sports Park's baseball field by a certain date. The contract specifies an amount to be paid if Renew breaches the deal. This clause is enforceable if the amount is

Correct Answer
verified

Berry Farm hires Chun to repair its irrigation system on site by a certain date for $2,500, but Chun fails to perform. Berry Farm hires Diego to do the job for $2,000. In a suit for breach, Berry Farm may recover from Chun

Correct Answer
verified

Liquidated damages provisions normally are unenforceable.

Correct Answer
verified

The function of a quasi contract is to impose a legal obligation on a party who purposely failed to fulfill an express promise.

Correct Answer
verified

On the breach of a contract for a sale of land when the seller has sold the property to someone else, an award of specific performance is unavailable.

Correct Answer
verified

Correct Answer
verified
Yes, Meal can rescind the contract and o...
View Answer

Bagels Bakery enters into a contract with Cineplex for discounted tickets for Bagels's employees. When Cineplex does not provide the tickets, Bagels enters into a contract with DigiMovies for the same service at a lower price. In a suit for breach, Bagels might be awarded nominal damages to

Correct Answer
verified

Exam 19: Breachapter of Contract and Remedies

Bee is an employee of Credit Agency Inc. On the termination of Bee's position, Credit pays Bee $10,000 to agree not to disclose the employer's confidential information. Later, Bee sells the information to Debt Records LLC for $100,000. In a suit for breach, Credit is most likely to recover

Correct AnswerverifiedShow Answer

Between parties in equal bargaining positions, a contract provision that states no damages can be recovered for certain types of breaches may be enforced.

Correct AnswerverifiedShow Answer

Faiz enters into a contract to buy 350 acres from Grain Farm to cultivate hops and open a brewery. Faiz fails to make the purchase. Grain Farm's remedy is most likely

Correct AnswerverifiedShow Answer

The failure of one party to perform under a contract entitles the other party to rescind the contract.

Correct AnswerverifiedShow Answer

Lyn orally contracts to sell five acres of timber to Mountain Mill LLC. The buyer harvests the trees but fails to remit the full price. Because of the lack of a written contract, Lyn could most likely recover on a theory of

Correct AnswerverifiedShow Answer

Renew Turf Inc. enters into a contract with Sports Park to provide surface material for Sports Park's baseball field by a certain date. The contract specifies an amount to be paid if Renew breaches the deal. This clause is enforceable if the amount is

Correct AnswerverifiedShow Answer

Berry Farm hires Chun to repair its irrigation system on site by a certain date for $2,500, but Chun fails to perform. Berry Farm hires Diego to do the job for $2,000. In a suit for breach, Berry Farm may recover from Chun

Correct AnswerverifiedShow Answer

Liquidated damages provisions normally are unenforceable.

Correct AnswerverifiedShow Answer

The function of a quasi contract is to impose a legal obligation on a party who purposely failed to fulfill an express promise.

Correct AnswerverifiedShow Answer

On the breach of a contract for a sale of land when the seller has sold the property to someone else, an award of specific performance is unavailable.

Correct AnswerverifiedShow Answer

Correct AnswerverifiedYes, Meal can rescind the contract and o...View AnswerShow Answer

Bagels Bakery enters into a contract with Cineplex for discounted tickets for Bagels's employees. When Cineplex does not provide the tickets, Bagels enters into a contract with DigiMovies for the same service at a lower price. In a suit for breach, Bagels might be awarded nominal damages to

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
verified
Yes, Meal can rescind the contract and o...
View Answer

Correct Answer
verified