Contract law worksheet with answers

Which elements are generally needed to form a contract?

1. AA written document signed by both parties and certified by a notary
2. BA witness for each party
3. CA payment made in advance
4. DAn offer and an acceptance, with the intention to be legally bound

A "voidable" contract is one that:

1. AIs a criminal agreement and illegal
2. BIs valid until the affected party chooses to set it aside
3. CNever had any legal effect at all
4. DCan only be ended by both parties agreeing together to cancel it

A unilateral contract is one in which:

1. AOnly one party is allowed to terminate it
2. BOne party promises something in return for the other performing an act
3. CThe terms are imposed by statute on one party
4. DOnly one party signs the written document, so only that party is bound by it

A creditor agrees to take £600 in full settlement of a £1,000 debt that is due, then sues for the other £400. Under Pinnel's Case and Foakes v Beer, the creditor:

1. AMust give back the £600 first
2. BCan usually recover the £400
3. CCan recover only if the agreement was oral
4. DCannot recover anything more

A promises to keep an offer open until Friday. On Thursday, B hears from a reliable third party that A has sold the property to someone else. Under Dickinson v Dodds:

1. AThe offer has been revoked, so B can no longer accept
2. BB can accept and claim the property from the new buyer
3. CB can sue A for breaking the promise to keep it open
4. DThe offer stays open until Friday, as A promised

A doctor selling his practice truthfully states its income, but the income falls sharply before the contract is signed and he says nothing. This is:

1. AA breach of an implied condition of quality
2. BA mere opinion about future income
3. CA misrepresentation, because he should have corrected the statement
4. DNot a misrepresentation, because the statement was true when it was made

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

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

An actress is wrongly denied the chance to take part in the final stage of a competition in which some finalists would win prizes. In Chaplin v Hicks:

1. AShe could recover the full value of a prize
2. BShe could recover only her travel expenses
3. CShe could recover damages for the loss of a chance
4. DShe could recover nothing, because her loss was uncertain