Contract law worksheet with answers

Under the UK Consumer Rights Act 2015, goods supplied by a trader to a consumer must be:

1. ASold below the recommended retail price
2. BCovered by a five-year manufacturer guarantee against all defects
3. COf satisfactory quality, fit for purpose and as described
4. DBrand new and in their original packaging

Who can usually enforce a contract?

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

Rescission of a contract means:

1. AOrdering a party to perform as promised
2. BEnding the contract for the future only and claiming damages for lost profits
3. CCorrecting the wording of a written contract
4. DSetting the contract aside so the parties return to their original positions

A former wife sues for maintenance her ex-husband promised, relying only on promissory estoppel because she gave no consideration. In Combe v Combe:

1. AShe failed, because promissory estoppel is a shield, not a sword
2. BShe succeeded, because she relied on the promise
3. CShe succeeded, because the promise was made in writing
4. DShe failed, because family agreements are never legally binding on either party

What is an exclusion clause?

1. AA term that excludes third parties from the contract
2. BA term that limits or excludes one party's liability
3. CA clause allowing termination at any time
4. DA term that excludes a party from paying VAT

Promissory estoppel can prevent a party from:

1. AGoing back on a promise not to enforce strict legal rights, when the other relied on it
2. BMaking any new promises
3. CSuing for any breach at all, including breaches entirely unrelated to the promise that it made
4. DEntering into future contracts

Liquidated damages clauses are enforceable in English law when:

1. AThey protect a legitimate interest and are not out of all proportion to it
2. BOnly the party in breach benefits from them
3. CThey are set as high as possible, so that they deter either party from breaching
4. DThey are agreed orally only

An employment contract forbids the employee from working for any competitor anywhere in the world for 20 years after leaving. In English law this clause is most likely:

1. AUnenforceable, as an unreasonable restraint of trade
2. BEnforceable for the first five years only
3. CEnforceable if the employer is a large company
4. DEnforceable, because the employee agreed to it