Contract law worksheet with answers

Who can usually enforce a contract?

1. AOnly lawyers
2. BThe parties to the contract
3. COnly the state
4. DAnyone who hears about it or is affected by it

Which equitable remedy corrects a written contract so it records what the parties actually agreed?

1. AQuantum meruit
2. BRectification
3. CRescission
4. DSpecific performance

For commercial agreements, English courts presume that the parties:

1. ADo not intend to create legal relations
2. BIntend to create legal relations
3. CIntend only a moral obligation
4. DIntend the agreement to be a gift

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

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

A buyer is told false figures about a business and is offered documents that would reveal the truth, but does not read them. Under Redgrave v Hurd:

1. AThe misrepresentation becomes a term
2. BThe buyer can claim only half the loss
3. CThe buyer can still rely on the misrepresentation
4. DThe buyer loses all remedies by failing to check

Frustration of contract occurs when:

1. AOne party regrets the bargain
2. BThe contract was badly drafted
3. CAn unforeseen event makes performance impossible or radically different
4. DPerformance becomes more expensive or more difficult than either party expected

Two parties agree to continue negotiating for the sale of a business, with no fixed period. In Walford v Miles, the House of Lords held that a bare agreement to negotiate in good faith is:

1. AEnforceable only if made in writing
2. BEnforceable, as an implied duty of good faith
3. CEnforceable as a lock-out agreement
4. DUnenforceable, because it lacks certainty

A buyer purchases oats thinking they are old oats. The seller knows they are new, but made no statement or promise that they were old. Under Smith v Hughes:

1. AThe contract is void for unilateral mistake
2. BThe contract is voidable, because the seller's silence amounted to a misrepresentation
3. CThe seller had a duty to correct the buyer
4. DThe contract is binding, because a mistake about quality alone is not enough