Contract law worksheet with answers

Which statement about silence as acceptance is correct in general?

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

In English law, a term whose breach allows termination only if the consequences are serious is called:

1. AAn innominate (intermediate) term
2. BA warranty
3. CA condition
4. DA representation

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

1. ARescission
2. BQuantum meruit
3. CRectification
4. DSpecific performance

In Hadley v Baxendale, damages are recoverable for losses that:

1. AWere caused in any factual sense by the breach, however unusual and unforeseeable they were
2. BWere caused by a third party
3. CArise naturally from the breach or were in the reasonable contemplation of both parties
4. DThe claimant suffered only after the trial

A seller says the farms are "fully let" but does not mention that the tenants have given notice to leave. This is:

1. AA statement of opinion only
2. BA mere puff with no legal effect
3. CMere silence, which is never actionable
4. DA misrepresentation by half-truth

Which of these will usually bar rescission for misrepresentation?

1. AThe innocent party affirms the contract after learning the truth
2. BThe misrepresentation was innocent rather than fraudulent or negligent
3. CThe contract was made in writing
4. DThe misrepresentation was made by a company

A wife guarantees her husband's business debts to a bank. Under RBS v Etridge (No 2), the bank should normally:

1. ARefuse the guarantee unless she has her own income
2. BHave the husband explain the risks to her
3. CSeek a court's approval of the guarantee
4. DObtain confirmation that a solicitor has advised her

A buyer specifically asks a surveyor to check aircraft noise at a property. The surveyor negligently reports no problem. In Farley v Skinner:

1. AThe buyer had to sell the house before claiming
2. BDamages for discomfort were recoverable, as peace of mind was an important object of the obligation
3. COnly the difference in market value was recoverable
4. DNo damages were recoverable, because damages for distress or discomfort are always excluded in contract