Contract law worksheet with answers

A term that the parties did not state, but which a court reads into the contract, is:

1. AAn implied term
2. BA collateral warranty
3. CA condition precedent
4. DAn express term

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

1. AA representation
2. BA condition
3. CA warranty
4. DAn innominate (intermediate) term

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

Under EU consumer law, a consumer who buys online usually has the right to withdraw within:

1. A14 days without giving a reason
2. B3 days, only with a reason
3. CNo time, because online sales are final
4. D30 days, only if the goods are defective

A fishing company receives fewer licences than it needs and chooses to assign them to its other ships, not the chartered one. In Maritime National Fish v Ocean Trawlers the charter was:

1. ASuspended until more licences were issued
2. BNot frustrated, because the problem was self-induced
3. CVoid, because licences were a condition precedent
4. DFrustrated by the government licensing decision

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 DThe offer has been revoked, so B can no longer accept

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

A contract states it can be varied only in signed writing. The parties later agree an oral variation. In MWB Business Exchange v Rock Advertising, the Supreme Court held:

1. AThe variation was effective as it had consideration
2. BThe clause was void as against public policy
3. CThe oral variation was ineffective, because the clause was binding
4. DThe oral variation was effective, because parties can always vary orally