Contract law worksheet with answers

A shop displays a jacket with a price tag in its window. In English law this is usually:

1. AA binding offer to sell at that price
2. BAn acceptance
3. CAn invitation to treat
4. DA unilateral contract

For commercial agreements, English courts presume that the parties:

1. AIntend only a moral obligation
2. BDo not intend to create legal relations
3. CIntend the agreement to be a gift
4. DIntend to create legal relations

Under English law, a minor who is supplied with necessaries must pay:

1. ADouble the contract price
2. BA reasonable price for them
3. COnly if a parent signed the contract
4. DNothing, because minors are never bound

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

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

What is an exclusion clause?

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

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

An employment contract forbids the employee from working for any competitor anywhere in the world for 20 years after leaving. In English law this clause is most likely:

1. AEnforceable for the first five years only
2. BEnforceable if the employer is a large company
3. CUnenforceable, as an unreasonable restraint of trade
4. DEnforceable, because the employee agreed to 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