Breach of Contract

BCL – L1 – SA – Q53 – Contract Law

Situations where exemplary damages are allowed.

Question

Exemplary damages are

A allowed in case of dishonour of a cheque by a banker having sufficient funds

B the difference between the contract price and the market price

C allowed where in case of breach of a contract, the plaintiff has not suffered any loss.

D none of these

Answer

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Tags: Breach of Contract, Contract Law, Damages, Exemplary Damages
Level: Level 1

Topic: Contract Law

BCL – L1 – SA – Q34 – Contract Law

Type of breach in a contract.

Question

A breach of contract can be of ____ breach.

A. Discharged

B. Illegal

C. Void

D. None of these

Answer

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Tags: Breach of Contract, Contract Validity, Legal Terms
Level: Level 1

Topic: Contract Law

BCL – L1 – SA – Q31 – Contract Law

Outcome of a lawsuit for breach of a lease agreement.

Question

Patricia rented an apartment to David for $500 per month. Patricia and David signed a one-year lease, to be effective beginning January 1st. After three months, David decided that he did not like the apartment. He gave Patricia a 30-day written notice, stating that he would vacate the rental unit at the end of the thirty days, which was April 30th. Upon receipt of David’s notice, Patricia made reasonable efforts to find a new tenant. Nevertheless, the apartment remained vacant from May 1st through June 30th. Patricia re-rented the apartment beginning July 1st for one year. Patricia sues David in small claims court. What is the likely outcome?

A. Patricia is entitled to the balance of the lease, or $4,000, because David did not have a valid reason to breach the contract.

B. Patricia is entitled to nothing because David gave Patricia thirty-days written notice.

C. Patricia is entitled to $1,000, because she tried to find another tenant immediately upon learning of David’s intent to breach the contract but was unable to re-lease the apartment until July 1st.

D. Patricia is entitled to $500, which represents one- month’s rent.

Answer

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Tags: Breach of Contract, Damages, Lease Agreement, Mitigation
Level: Level 1

Topic: Contract Law

BCL – L1 – SA – Q21 – Contract Law

Sammy sues Larry for non-payment of $400 for a car after 8 years. Is the contract enforceable?

Question

Sammy agreed to sell, and Larry agreed to buy Sammy’s car for $400, payable upon delivery. Sammy delivered and left the car with Larry. However, Larry failed to pay Sammy the $400. After eight years had passed following the delivery and acceptance of the car by Larry, Sammy sued Larry in state court for failure to pay him the $400. Based only on the above stated facts, which of the following statement is most accurate? Assume the UCC applies and the statute of limitations for oral contracts is two years and for written contracts is four years.

A No contract was ever created between Sammy and Larry.

B A contract was created but likely not enforceable because the statute of limitations has expired.

C A contract was created, but it is only enforceable if it is in writing.

D A contract was created and is enforceable.

Answer

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Tags: Breach of Contract, Contract Law, Enforceability, Statute of Limitations, UCC
Level: Level 1

Topic: Contract Law

BCL – L1 – Q21 – Privity of Contract

Explain the term 'Privity of Contract' in the context of contractual rights and obligations.

Question

(a). Explain the term ‘Privity of Contract’

(b). Femi, aged fifteen (15), completed Secondary School and has approached you with a request to supply your company with building materials including cement and iron rods. The request was from a business enterprise known to your company, PrimeBuild Ltd., which was owned by Femi’s mother, and the request was signed by his mother. A line in the said letter read as follows: ‘You can negotiate the terms of the supply with bearer’.

Required:

Whether or not your company, represented by you, can negotiate with the bearer.

(c). Femi, aged fifteen (15), completed Secondary School and has approached you with a request to supply your company with building materials including cement and iron rods. The request was from a business enterprise known to your company, PrimeBuild Ltd., which was owned by Femi’s mother, and the request was signed by his mother. A line in the said letter read as follows: ‘You can negotiate the terms of the supply with bearer’.

Required:

The rights of the company, in the event of failing to supply the building materials to your company.

Answer

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Tags: Breach of Contract, Contract Law, Damages, Remedies, Specific Performance
Level: Level 1

Topic: Contract Law

Title: BCL – L1 – Q20 – Contract Law

Advise Mercy on her contractual rights after a job offer was withdrawn and a lower-paying job offered.

Question

After successfully going through the recruitment and selection, Mercy was verbally requested to start work on a specified date as Operations Manager. Mercy reported as requested and was again asked to wait while her office was being furnished. She was given another date to report and commence work. When she reported on the said date, Mercy was informed that the job was no more available but there was another job with a lower salary which was available immediately. Mercy was informed that she had two (2) days to accept the offer.

Required:

Mercy has approached you to advise her on her contractual rights.

Answer

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Tags: Breach of Contract, Contract Formation, Oral Contract, Remedies
Level: Level 1

Topic: Contract Law

Title: BCL – L1 – Q19 – Contract Law

Explain the basic elements of a contract for a training consultant engagement.

Question

In building the capacity of staff in Apex Gaming Commission, management has engaged a consultant from Nevada, (a well-known gaming state) under a contract to provide training. Some board members have opposed this engagement of the consultant from Nevada on the ground that their operational jurisdiction is different. In order to ensure that your company has full benefit of the signed contract and also reduce its legal risks, Management has requested you to prepare an Internal Memo to the Chief Executive Officer and explain the following:

(a) the basic elements of a contract

(b) the circumstances under which the contract can be vitiated

Answer

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Tags: Breach of Contract, Damages, Remedies, Specific Performance
Level: Level 1

Topic: Contract Law

Tag (SQ): Breach of Contract

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BCL – L1 – SA – Q53 – Contract Law

Situations where exemplary damages are allowed.

BCL – L1 – SA – Q34 – Contract Law

Type of breach in a contract.

BCL – L1 – SA – Q31 – Contract Law

Outcome of a lawsuit for breach of a lease agreement.

BCL – L1 – SA – Q21 – Contract Law

Sammy sues Larry for non-payment of $400 for a car after 8 years. Is the contract enforceable?

BCL – L1 – Q21 – Privity of Contract

Explain the term 'Privity of Contract' in the context of contractual rights and obligations.

Title: BCL – L1 – Q20 – Contract Law

Advise Mercy on her contractual rights after a job offer was withdrawn and a lower-paying job offered.

Title: BCL – L1 – Q19 – Contract Law

Explain the basic elements of a contract for a training consultant engagement.

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BCL – L1 – SA – Q53 – Contract Law

Situations where exemplary damages are allowed.

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BCL – L1 – SA – Q34 – Contract Law

Type of breach in a contract.

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BCL – L1 – SA – Q31 – Contract Law

Outcome of a lawsuit for breach of a lease agreement.

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BCL – L1 – SA – Q21 – Contract Law

Sammy sues Larry for non-payment of $400 for a car after 8 years. Is the contract enforceable?

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BCL – L1 – Q21 – Privity of Contract

Explain the term 'Privity of Contract' in the context of contractual rights and obligations.

You're reporting an error for "BCL – L1 – Q21 – Privity of Contract"

Title: BCL – L1 – Q20 – Contract Law

Advise Mercy on her contractual rights after a job offer was withdrawn and a lower-paying job offered.

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Title: BCL – L1 – Q19 – Contract Law

Explain the basic elements of a contract for a training consultant engagement.

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