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Exam 20: Discharge and Remedies

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Question 31

Multiple Choice

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If a contract does not clearly specify that the satisfaction is to be personal, the ______ standard applies.

A) Express
B) Subjective
C) Objective
D) Absolute
E) Unbiased

F) B) and E)
G) A) and E)

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Question 32

Multiple Choice

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A _____ occurs whenever a party fails to perform his or her obligations under the contract.

A) Split
B) Break
C) Breach
D) Misdeed
E) Mistake

F) B) and C)
G) A) and E)

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Question 33

Multiple Choice

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Powder Room Mess." For $300,000, Willis agrees to build a new home for Robert, who is very picky. Willis builds the home to Robert's specifications with one exception. The faucets and linoleum flooring in an upstairs powder room are not exactly what Robert specified. That was a mistake on Willis' part, but he had not intentionally failed to follow specifications. When Robert sees the powder room, he goes ballistic and tells Willis that he will not pay Willis anything for the house. It will take $300 to put in correct faucets and linoleum. Willis says that he is willing to pay $300 to put Robert in the position he would have been in had the correct faucets and linoleum been used, but that is all he is willing to pay. -Willis' offer to put Robert in the position he would have been in had the proper faucets and linoleum been used is based on the measure used for what type of damages?

"Dream Home." Maurice finds a dream home on the lake. He wants to buy it but is unsure whether he can get a loan. He signs a contract with the seller that he will buy the home provided that he can get a loan. Maurice also includes a contractual clause in the contract with the seller that if he loses his job before the date the purchase contract is signed, the seller will release him from any obligation. After getting a loan and buying the home, Maurice decided that he wanted new windows. He entered into a contract with a window contractor. The window contractor visited the home, but Maurice was always gone. The contractor made several attempts to reach Maurice, but Maurice would not return phone calls and made no attempt to assist the contractor with installation -The responsibility of Maurice to make arrangements to give the window installer access to the home is referred to as which of the following?

When no actual damages result from the breach of a contract, the court may award the plaintiff ______ damages.

Which of the following occurs when a contracting party refuses to complete the contract before the actual time of performance?

Which of the following is used when, by agreement one of the parties substitutes a different performance for his or her original duty under the contract?

Which of the following occurs when the parties to the agreement wish to replace one of the parties with a third party?

"Hawaiian Adventure." Beverly decides to go on a great trip to Hawaii. She needs someone, however, to take care of her two dogs, Creaky and Toady, while she is gone. She hires Frank three months in advance and they reach a contractual arrangement whereby he will be paid $200 for keeping the dogs for two weeks. Frank comes over two months before Beverly is set to leave, takes one look at Creaky and Toady, and declares that they are too creepy to be around. Beverly hires Alice who agrees to care for Creaky and Toady. Two weeks before Beverly is set to leave, however, Alice calls and tells her that she just broke both her legs in an automobile accident and has been put on bed rest for two months. Finally, Beverly hires Betty to care for the dogs and heads off to Hawaii where she has a great time. Unfortunately, when Beverly returns home, she finds that Betty has absconded with Creaky and Toady. They were later found in good health in an exclusive resort visited by Betty. Betty refuses to return Creaky and Toady to Beverly claiming that they were all enjoying the resort and that she had become quite attached to them. -What will Beverly seek in order to get Creaky and Toady returned from Betty?

Under which of the following type of damages do the parties specify in advance the damages if there is a particular kind of breach?

Which of the following is an order either forcing a person to do something or prohibiting a person from doing something?

Which of the following damages are designed to put the plaintiff in the position he or she would have been in had the contract been fully performed?

List the ways by which a party's contractual obligations can be terminated.

Which of the following requires that the breaching party fulfill the terms of the agreement?

Contractual conditions may be expressly inserted into the contract by the parties but may not be implied by law.

Which of the following describes conditions that are not explicitly stated but are inferred from the nature and language of the contract?

Bob's house was damaged by fire. He got three independent appraisals regarding the damage and submitted those to his insurer informing the insurer that he was willing to use the lowest appraisal as a basis for his insurance reimbursement. The adjuster for the insurance company asked Bob to submit to an oral examination under oath regarding the fire, but Bob refused. The insurance company denied reimbursement based on Bob's refusal to provide the examination under oath. Which of the following is true regarding whether Bob should be allowed to recover under the policy if the court follows the case in the text Hamilton v. State Farm Fire & Casualty Insurance Company?

A contractual condition of satisfaction may be judged by either a[n] ______ or ______ standard.

The parties' discharge of their obligations by doing what they respectively agreed to do under the terms of the contract is called ____.

When a party's obligations under a contract are terminated, the party is said to be ____.