1.Easy
Under the Unfair Contract Terms Act 1977, a business cannot exclude or restrict liability for:
- AAny damage to the other party's property
- BDeath or personal injury caused by negligence
- CLoss of profit caused by a supplier
- DLate delivery of goods in a business sale
2.Easy
In English law, a term whose breach allows termination only if the consequences are serious is called:
- AA condition
- BAn innominate (intermediate) term
- CA warranty
- DA representation
3.Easy
Which elements are generally needed to form a contract?
- AA witness for each party
- BA written document signed by both parties and certified by a notary
- CAn offer and an acceptance, with the intention to be legally bound
- DA payment made in advance
4.Medium
Sailors are promised extra wages for sailing a ship home after two crew members desert, but they do no more than their contract already required. In Stilk v Myrick the promise was:
- AUnenforceable for lack of consideration
- BEnforceable as a practical benefit
- CEnforceable because the captain agreed freely
- DUnenforceable because it was made at sea
5.Medium
Under UCTA 1977, a business-to-business clause excluding liability for property damage caused by negligence is valid:
- AOnly if signed by a company director
- BOnly if it satisfies the requirement of reasonableness
- CAlways, because businesses can bargain freely
- DNever, in any circumstances
6.Medium
An unusual and onerous term in standard conditions will only be incorporated if:
- AIt is printed anywhere in the contract documents, however small the type
- BIt was fairly and reasonably brought to the other party's attention
- CThe other party could have found it online
- DIt appears on the back of a receipt
7.Hard
Which statement about the parol evidence rule is correct?
- AEvidence outside a written contract is generally not admitted to add to or vary its terms
- BWritten contracts can never be interpreted
- COral contracts are always invalid
- DCourts must accept any later oral statement as overriding the express written terms of the contract
8.Hard
A posts an offer. A week later A posts a revocation. B receives the offer and immediately accepts by telegram, and only later receives the revocation. Applying Byrne v Van Tienhoven:
- AA contract was made when B accepted, because the revocation had not yet arrived
- BThere was no contract, because offers by post can be revoked at any time
- CA contract was made only when B received the revocation
- DThere was no contract, because the revocation was posted before B's acceptance was sent
Answer key
- 1. B · Death or personal injury caused by negligence
- 2. B · An innominate (intermediate) term
- 3. C · An offer and an acceptance, with the intention to be legally bound
- 4. A · Unenforceable for lack of consideration
- 5. B · Only if it satisfies the requirement of reasonableness
- 6. B · It was fairly and reasonably brought to the other party's attention
- 7. A · Evidence outside a written contract is generally not admitted to add to or vary its terms
- 8. A · A contract was made when B accepted, because the revocation had not yet arrived
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