FiltersDone

Question type

Essay

Multiple Choice

Short Answer

True False

Matching

Exam 13: Breach and Remedies

Show Answer

Share

---

All types

Filters

Study FlashcardsPractice ExamLearn

Question 21

True/False

Review LaterAdd Note

Review Later

Normally,when a nonbreaching party has been damaged by a breach of contract,he or she does not have a duty to mitigate those damages.

Correct Answer

verified

Show Answer

Question 22

True/False

Review LaterAdd Note

Review Later

Consequential damages are awarded to cover all of the remote conse-quences of whatever injury a nonbreaching party suffers.

Correct Answer

verified

Show Answer

Question 23

Multiple Choice

Review LaterAdd Note

Home Delivery Corporation and Interstate Transport,Inc.,sign an agree-ment that provides for the payment of "$1,000 by whichever party commits a material breach of the contract that creates damages difficult to esti-mate but approximately $1,000." This is

Earl holds 1,000 pounds of perishable fruit in storage for Fresh Food Corpo-ration.Fresh Food does not pay for the storage.Earl sells the fruit to Green Grocers,Inc.This sale represents

The injury suffered by a nonbreaching party due to the breach of a con-tract may be remedied by payment of compensatory damages.

Fact Pattern 13-1 Bella Homes enters into a contract to buy 132 acres from Watershed Holdings to subdivide and sell in fifth-acre lots for Pristine Meadow,a residential development. -Refer to Fact Pattern 13-1.If Bella breaches the contract,Watershed's remedy would most likely be

In a contract for a sale of goods,the usual measure of compensatory dam-ages is the difference between the contract price and the market price.

Compensatory damages compensate the injured party for injuries sustained due to loss of the contract and also punish the party that breached the contract.

Clarice pays Damien $10,000 to design an ad campaign for her Sweetwater Coffee Stand chain.The next day,Damien tells Clarice that he has accepted a job in New York and cannot design her campaign.She files a suit against Damien.As compensatory damages,she can recover

Rough & Ready Timber Company orally contracts with Shawn for the purchase of five acres of Shawn's timberland.Shawn makes the transfer but Rough & Ready does not pay the price.The lack of a written contract could bar enforcement of this deal.If so,Shawn could most likely recover on a theory of

The measure of damages for breach of a construction contract depends on which party breaches and when.

Hybrid Corporation enters into a contract with Insure Service,Inc.(ISI) ,to obtain health insurance for Hybrid employees.If ISI breaches the contract and Hybrid is awarded compensatory damages,the purpose would be to

Consequential damages are foreseeable damages that arise from a party's breach of a contract.

Liquidated damages provisions are usually not enforceable.

When a breach of contract occurs,the innocent injured party has a duty to mitigate the damages.

Mother & Daughter Jewelers breaches its lease with Longview Mall and vacates the premises six months before the end of the term.In some states,Longview would have to

Special damages are awarded for damage caused by special circumstances beyond a contract.

A contract between E-Debits,Inc.,and First Credit Corporation includes a provision excluding liability as a result of fraud.This provision is

Punitive damages are generally available in contract disputes.

To rescind a contract,each party essentially advances to the position he or she would have been in if the contract had been fully executed.