Contract law worksheet with answers

What is a breach of contract?

1. AFailing to perform a contractual obligation without a lawful excuse
2. BNegotiating a better price
3. CRefusing to sign a contract
4. DWithdrawing an offer before it is accepted, after promising to keep it open

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

Which statement about silence as acceptance is correct in general?

1. ASilence always counts as acceptance
2. BSilence counts as acceptance after 24 hours
3. CSilence usually does not count as acceptance
4. DSilence counts as acceptance if the offeror says so

A customer signs a contract containing an exclusion clause without reading it. Absent fraud or misrepresentation, the clause is generally:

1. AIncorporated, because a signature binds the signer
2. BIncorporated only if it was explained orally
3. CNot incorporated, because it was not read
4. DVoid for unilateral mistake

A misrepresentation is:

1. AA false statement of fact that induces someone to enter a contract
2. BA promise about future behaviour that is not kept, even if honestly made
3. CSilence about any fact at all
4. DAn opinion that turns out to be wrong

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 BThe offer has been revoked, so B can no longer accept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

A husband who has left his wife signs a note promising to transfer the house to her if she pays off the mortgage. She does. In Merritt v Merritt, the promise was:

1. AEnforceable only because it was made by deed
2. BEnforceable, because separated spouses are presumed to intend legal relations
3. CUnenforceable, because it was a domestic arrangement between husband and wife
4. DUnenforceable, because she gave no consideration

Under the Vienna Sales Convention (CISG), a reply to an offer that adds non-material terms:

1. AIs an acceptance, unless the offeror objects without undue delay
2. BCreates a contract only after a court confirms that the added terms are non-material
3. CHas no legal effect
4. DIs always a rejection