Contract law worksheet with answers

Free printable Contract law worksheet: 8 problems from easy to exam level, with an answer key. Print it or save it as a PDF.

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Name: ____________________   Date: ____________

1.Easy

A term that is fundamental to the contract, whose breach allows termination, is called in English law a:

  1. AInvitation to treat
  2. BCondition
  3. CRepresentation
  4. DWarranty
2.Easy

A term that the parties did not state, but which a court reads into the contract, is:

  1. AA condition precedent
  2. BA collateral warranty
  3. CAn implied term
  4. DAn express term
3.Easy

Who can usually enforce a contract?

  1. AOnly lawyers
  2. BAnyone who hears about it or is affected by it
  3. CThe parties to the contract
  4. DOnly the state
4.Medium

A contract made under duress may be:

  1. ATurned into a criminal offence only
  2. BEnforced against the pressured party in every case
  3. CAutomatically valid with no remedy
  4. DAvoided (set aside) by the pressured party
5.Medium

In English law, the "postal rule" means an acceptance sent by post takes effect:

  1. AWhen the letter is read
  2. BWhen the offeror replies
  3. CWhen the letter arrives
  4. DWhen the letter is posted
6.Medium

A boiler is delivered late to a laundry. The seller knew it was needed for the business but not about especially lucrative dyeing contracts. Under Victoria Laundry v Newman, the laundry recovers:

  1. AOrdinary lost profits, but not the profits from the special contracts
  2. BAll lost profits, including those from the especially lucrative dyeing contracts
  3. COnly the price it paid for the boiler
  4. DNothing, because all lost profits are too remote
7.Hard

A pays B money to bet on shares using insider information, which is illegal. The bet never happens and A wants the money back. In Patel v Mirza, the Supreme Court held:

  1. AA could recover only half the money
  2. BA could not recover, because no claim can be founded on an illegal agreement
  3. CThe money passed to the state as illegal proceeds
  4. DA could recover the money, applying a policy-based approach to illegality
8.Hard

A contract states it can be varied only in signed writing. The parties later agree an oral variation. In MWB Business Exchange v Rock Advertising, the Supreme Court held:

  1. AThe variation was effective as it had consideration
  2. BThe oral variation was effective, because parties can always vary orally
  3. CThe clause was void as against public policy
  4. DThe oral variation was ineffective, because the clause was binding

Answer key

  1. 1. B · Condition
  2. 2. C · An implied term
  3. 3. C · The parties to the contract
  4. 4. D · Avoided (set aside) by the pressured party
  5. 5. D · When the letter is posted
  6. 6. A · Ordinary lost profits, but not the profits from the special contracts
  7. 7. D · A could recover the money, applying a policy-based approach to illegality
  8. 8. D · The oral variation was ineffective, because the clause was binding

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