KS Bar Contracts 3

Question 1

Which measure of damages is designed to put the non-breaching party in the position they were in before the contract was made?

Accepted Answer

Reliance damages

Answer

Reliance damages reimburse the non-breaching party for expenditures made in preparation for or in performance of the contract, restoring the pre-contract position.

Question 2

Under the Restatement (Second), a contract may be voidable for mutual mistake when the mistake concerns which type of fact?

Accepted Answer

A basic assumption of the contract that materially affects the agreed exchange

Answer

Restatement (Second) § 152 allows avoidance for mutual mistake only when it concerns a basic assumption of the contract and materially affects the agreed exchange of performances.

Question 3

What distinguishes a condition precedent from a promise in contract law?

Accepted Answer

Non-occurrence of a condition precedent excuses performance without liability; breach of a promise creates liability

Answer

If a condition precedent does not occur, the obligor's duty never arises and no breach occurs; failure to perform a promise, however, constitutes a breach creating liability.

Question 4

A buyer rejects a non-conforming tender of goods under the UCC perfect tender rule. What right does the seller have if time remains in the contract period?

Accepted Answer

The right to cure by making a conforming delivery within the contract time

Answer

UCC § 2-508 grants the seller a right to cure a non-conforming tender if the time for performance has not yet expired and the seller seasonably notifies the buyer.

Question 5

Which equitable remedy compels a party to perform its contractual obligations rather than paying damages?

Accepted Answer

Specific performance

Answer

Specific performance is an equitable remedy ordered when monetary damages are inadequate, most commonly in contracts for unique goods or real property.

(KS Bar) Kansas Bar Exam Practice Test

(KS Bar) Kansas Bar Exam Practice Test

KS Bar Contracts 3