Contract law worksheet with answers

Anticipatory breach occurs when:

1. AA party performs earlier than the agreed date
2. BAn expert predicts, before performance is due, that a party will probably breach
3. CA party shows, before performance is due, that it will not perform
4. DA party breaches a term that has not yet been agreed

Under the Unfair Contract Terms Act 1977, a business cannot exclude or restrict liability for:

1. AAny damage to the other party's property
2. BDeath or personal injury caused by negligence
3. CLoss of profit caused by a supplier
4. DLate delivery of goods in a business sale

The duty to mitigate loss means that a claimant:

1. AMust accept any offer made by the party in breach
2. BMust sue within one month of the breach
3. CCannot recover for losses they could reasonably have avoided
4. DMust prove the breach was deliberate

An actress agrees to act only for one studio and not for any other during the contract. She leaves to act for a rival. The court is most likely to:

1. ARefuse any remedy, as personal services are involved
2. BOrder her to perform her contract with the studio
3. COrder her to pay the rival's profits to the court
4. DGrant an injunction stopping her acting for the rival

A supplier receives a draft agreement, never signs or returns it, but both sides trade on its terms for years. A court is likely to find:

1. AA contract only for the first delivery
2. BA contract accepted by conduct
3. CA void agreement for lack of certainty
4. DNo contract, because nothing was signed

Promissory estoppel can prevent a party from:

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

In the Dutch Civil Code (BW), an offer that states a time limit for acceptance is:

1. AIrrevocable during that period
2. BAutomatically accepted at the end of the period
3. CInvalid without notarial approval
4. DRevocable at any moment before acceptance

A carrier, knowing a small company depends on its deliveries to supply a major customer, refuses to continue unless paid a higher minimum price. The company agrees as it has no alternative. In Atlas Express v Kafco:

1. AThe new agreement was binding as a free variation
2. BThe carrier committed a crime of extortion
3. CThe new agreement was not binding, due to economic duress
4. DThe new agreement was binding, as the carrier's continued performance was a practical benefit