MT Bar Contracts 2

Question 1

In Montana, the doctrine of promissory estoppel requires all of the following EXCEPT:

Accepted Answer

Written evidence of the promise

Answer

A clear and definite promise

Answer

Reasonable and foreseeable reliance

Answer

Injustice if the promise is not enforced

Question 2

Under Montana law, a material breach by one party to a contract:

Accepted Answer

Entitles the non-breaching party to suspend performance and sue for damages

Answer

Automatically terminates the contract

Answer

Requires the non-breaching party to give 30-day notice before suing

Answer

Only allows for nominal damages

Question 3

Which of the following is the correct measure of expectation damages in a Montana breach of contract case?

Accepted Answer

Benefit of the bargain (lost profits + consequential damages)

Answer

Out-of-pocket losses only

Answer

Restitution of unjust enrichment

Answer

Nominal damages plus attorney fees

Question 4

Under Montana's UCC Article 2, a merchant's firm offer is irrevocable for a period not to exceed:

Accepted Answer

90 days

Answer

30 days

Answer

60 days

Answer

6 months

Question 5

The parol evidence rule in Montana prevents introduction of extrinsic evidence to:

Accepted Answer

Contradict or vary the terms of a fully integrated written agreement

Answer

Show fraud in the inducement

Answer

Explain an ambiguous term

Answer

Prove a condition precedent to the contract

Question 6

In Montana, when a contract is ambiguous, a court will construe it:

Accepted Answer

Against the drafter under the contra proferentem doctrine

Answer

In favor of the party seeking enforcement

Answer

Strictly according to the literal text

Answer

By applying the last-in-time rule