1.Easy
A term that the parties did not state, but which a court reads into the contract, is:
- AA condition precedent
- BA collateral warranty
- CAn express term
- DAn implied term
2.Easy
Anticipatory breach occurs when:
- AA party breaches a term that has not yet been agreed
- BA party performs earlier than the agreed date
- CAn expert predicts, before performance is due, that a party will probably breach
- DA party shows, before performance is due, that it will not perform
3.Easy
In English law, agreements between spouses living together in harmony are presumed to be:
- ABinding only for one year
- BAlways legally binding
- CNot intended to be legally binding
- DBinding only if witnessed
4.Medium
Police provide extra officers at a mine during a strike, beyond what their public duty requires, at the owner's request. The owner's promise to pay is:
- AVoid, because it is contrary to public policy
- BEnforceable only if approved by Parliament
- CUnenforceable, because police protection can never be consideration for a promise
- DEnforceable, because doing more than a public duty is consideration
5.Medium
Damages for breach of contract are generally meant to:
- APunish the party in breach
- BPut the innocent party in the position as if the contract had been performed
- CGive the innocent party a profit beyond their loss
- DReturn both parties only to the position they were in before the contract was made
6.Medium
A creditor agrees to take £600 in full settlement of a £1,000 debt that is due, then sues for the other £400. Under Pinnel's Case and Foakes v Beer, the creditor:
- ACan recover only if the agreement was oral
- BCannot recover anything more
- CCan usually recover the £400
- DMust give back the £600 first
7.Hard
A posts an offer. A week later A posts a revocation. B receives the offer and immediately accepts by telegram, and only later receives the revocation. Applying Byrne v Van Tienhoven:
- AA contract was made only when B received the revocation
- BThere was no contract, because offers by post can be revoked at any time
- CThere was no contract, because the revocation was posted before B's acceptance was sent
- DA contract was made when B accepted, because the revocation had not yet arrived
8.Hard
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:
- AUnenforceable, because she gave no consideration
- BEnforceable only because it was made by deed
- CUnenforceable, because it was a domestic arrangement between husband and wife
- DEnforceable, because separated spouses are presumed to intend legal relations
Answer key
- 1. D · An implied term
- 2. D · A party shows, before performance is due, that it will not perform
- 3. C · Not intended to be legally binding
- 4. D · Enforceable, because doing more than a public duty is consideration
- 5. B · Put the innocent party in the position as if the contract had been performed
- 6. C · Can usually recover the £400
- 7. D · A contract was made when B accepted, because the revocation had not yet arrived
- 8. D · Enforceable, because separated spouses are presumed to intend legal relations
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