Contract law worksheet with answers

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

1. AA representation
2. BA condition
3. CAn innominate (intermediate) term
4. DA warranty

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

1. AAn invitation to treat
2. BA unilateral contract
3. CA binding offer to sell at that price
4. DAn acceptance

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

1. ANothing, because minors are never bound
2. BDouble the contract price
3. CA reasonable price for them
4. DOnly if a parent signed the contract

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. AOnly the price it paid for the boiler
2. BOrdinary lost profits, but not the profits from the special contracts
3. CNothing, because all lost profits are too remote
4. DAll lost profits, including those from the especially lucrative dyeing contracts

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

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

A decorator finishes the work but with minor defects that are cheap to fix. Under Hoenig v Isaacs, the decorator is entitled to:

1. ANothing, because performance was not exact
2. BThe price less the cost of putting the defects right
3. CThe full price with no deduction
4. DOnly payment for the materials used

A pays B money to bet on shares using insider information, which is illegal. The bet never happens and A wants the money back. In Patel v Mirza, the Supreme Court held:

1. AA could recover only half the money
2. BA could not recover, because no claim can be founded on an illegal agreement
3. CA could recover the money, applying a policy-based approach to illegality
4. DThe money passed to the state as illegal proceeds

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