JD Contract Law 2

Question 1

What is the primary measure of damages for breach of contract?

Accepted Answer

Expectation damages

Answer

Punitive damages

Answer

Nominal damages

Answer

Restitutionary damages

Question 2

A contract clause that pre-estimates damages in the event of breach is called a:

Accepted Answer

Liquidated damages clause

Answer

Penalty clause

Answer

Exculpatory clause

Answer

Force majeure clause

Question 3

Under the doctrine of 'anticipatory repudiation,' a non-breaching party may treat a contract as breached when the other party does what?

Accepted Answer

Unambiguously declares intent not to perform before the performance date

Answer

Delays performance by one day

Answer

Requests a contract modification

Answer

Assigns their rights to a third party

Question 4

What is 'specific performance' as a contract remedy?

Accepted Answer

Court order compelling a party to perform the contract

Answer

Payment of a fixed statutory penalty

Answer

Return of consideration paid

Answer

Cancellation of the contract

Question 5

Which defense excuses contract performance when an unforeseen event makes performance impossible?

Accepted Answer

Impossibility (impracticability)

Answer

Frustration of purpose

Answer

Mutual mistake

Answer

Unconscionability

Question 6

When a third party has rights under a contract between two others, that third party is called:

Accepted Answer

A third-party beneficiary

Answer

An assignee

Answer

A delegatee

Answer

A surety