IN Bar Contracts and Sales 3

Question 1

A seller ships nonconforming goods and the buyer rejects them within a reasonable time. Under UCC 2-508, the seller may cure if:

Accepted Answer

The time for performance has not yet expired, or the seller reasonably believed the goods would be acceptable

Answer

A seller has a right to cure before the performance deadline, and beyond it when the seller had reasonable grounds to believe the tender would be accepted.

Question 2

A buyer signs an installment contract for monthly deliveries of grain. One installment is slightly nonconforming but can be cured. Under UCC 2-612, the buyer may reject that installment only if:

Accepted Answer

The nonconformity substantially impairs the value of that installment and cannot be cured

Answer

Installment contracts are an exception to perfect tender; rejection requires substantial impairment of the installment that cannot be cured.

Question 3

A singer contracts to perform at a venue, but the venue burns down through no one's fault before the concert. The parties' duties are most likely:

Accepted Answer

Discharged by impossibility because the venue's existence was a basic assumption

Answer

Destruction of a thing essential to performance, without fault, discharges both parties under the doctrine of impossibility.

Question 4

A father contracts with a music school to give his daughter lessons, and the daughter later sues the school for breach. The daughter can recover if she is:

Accepted Answer

An intended beneficiary whose rights have vested

Answer

Only intended third-party beneficiaries whose rights have vested may enforce a contract made for their benefit.

Question 5

A buyer under a requirements contract suddenly demands quantities far exceeding any prior demand to resell at a profit. Under UCC 2-306, the seller must supply:

Accepted Answer

Only quantities not unreasonably disproportionate to stated estimates or normal prior requirements

Answer

Requirements are measured by good faith, and no quantity unreasonably disproportionate to estimates or normal prior requirements may be demanded.

(IN Bar) Indiana Bar Exam Practice Test

(IN Bar) Indiana Bar Exam Practice Test

IN Bar Contracts and Sales 3