Contract law worksheet with answers

Which statement about silence as acceptance is correct in general?

1. ASilence counts as acceptance if the offeror says so
2. BSilence always counts as acceptance
3. CSilence counts as acceptance after 24 hours
4. DSilence usually does not count as acceptance

A shop displays a jacket with a price tag in its window. In English law this is usually:

1. AAn acceptance
2. BA binding offer to sell at that price
3. CA unilateral contract
4. DAn invitation to treat

What is a breach of contract?

1. ARefusing to sign a contract
2. BFailing to perform a contractual obligation without a lawful excuse
3. CWithdrawing an offer before it is accepted, after promising to keep it open
4. DNegotiating a better price

An unusual and onerous term in standard conditions will only be incorporated if:

1. AIt appears on the back of a receipt
2. BIt is printed anywhere in the contract documents, however small the type
3. CIt was fairly and reasonably brought to the other party's attention
4. DThe other party could have found it online

An offer says acceptance must be made "by notice in writing to us". The offeree posts an acceptance, which is lost. Under Holwell Securities v Hughes:

1. AThe contract is void for common mistake
2. BThere is no contract, because actual notice was required
3. CA contract was formed when the letter was posted
4. DA contract was formed when the offeree decided to accept

A customer signs a contract containing an exclusion clause without reading it. Absent fraud or misrepresentation, the clause is generally:

1. ANot incorporated, because it was not read
2. BIncorporated only if it was explained orally
3. CVoid for unilateral mistake
4. DIncorporated, because a signature binds the signer

In English law, a presumption of undue influence typically arises when:

1. AAny contract is made between members of a family
2. BThere is a relationship of trust and confidence and a transaction that calls for explanation
3. CAny customer signs a contract with a bank
4. DThe price agreed is substantially lower than the market price, whatever the relationship of the parties

An act done before a promise was made can still be good consideration if:

1. AThe later promise was made in writing
2. BThe act was done within one year before the promise and was of some value to the promisor
3. CIt was valuable to the promisor when it was done
4. DIt was requested, payment was understood, and the promise would otherwise be enforceable