Contract law worksheet with answers

A term that is fundamental to the contract, whose breach allows termination, is called in English law a:

1. ARepresentation
2. BInvitation to treat
3. CCondition
4. DWarranty

When can an offer generally be withdrawn?

1. AOnly after it has been accepted
2. BOnly by a court
3. CNever, once it has been made
4. DBefore it has been accepted

Which elements are generally needed to form a contract?

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

A boiler is delivered late to a laundry. The seller knew it was needed for the business but not about especially lucrative dyeing contracts. Under Victoria Laundry v Newman, the laundry recovers:

1. ANothing, because all lost profits are too remote
2. BAll lost profits, including those from the especially lucrative dyeing contracts
3. COnly the price it paid for the boiler
4. DOrdinary lost profits, but not the profits from the special contracts

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. CGoing back on a promise not to enforce strict legal rights, when the other relied on it
4. DMaking any new promises

What is an exclusion clause?

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

In English law, a presumption of undue influence typically arises when:

1. AAny contract is made between members of a family
2. BAny customer signs a contract with a bank
3. CThe price agreed is substantially lower than the market price, whatever the relationship of the parties
4. DThere is a relationship of trust and confidence and a transaction that calls for explanation

A builder agrees to finish work for an agreed price, then demands more money. The client pays to avoid delay and gets a practical benefit. In English law (Williams v Roffey), the promise to pay more may be:

1. AEnforceable, because the practical benefit can be consideration if there is no duress
2. BUnenforceable, because performing an existing contractual duty can never be good consideration
3. CEnforceable only if made in writing
4. DA criminal offence