Understanding Implied and Express Conditions in Contracts, Quizzes of Business and Labour Law

Download Understanding Implied and Express Conditions in Contracts and more Quizzes Business and Labour Law in PDF only on Docsity! TERM 1 the more conditions to which a promise is subject, the less ___ the promise has DEFINITION 1 content TERM 2 Conditions can be imposed in what three ways? DEFINITION 2 Express conditionImplied in fact conditionImplied in law condition TERM 3 Three classifications of when a duty performance must occur DEFINITION 3 Conditions concurrentConditions PrecedentConditions Subsequent TERM 4 The objective standard would apply to the sale of DEFINITION 4 a building or standard goods TERM 5 certificate from the architecture before a owner is required to pay is an example of DEFINITION 5 Satisfaction of a third party TERM 6 Implied in fact conditions are SIMILAR to express conditions in that they must DEFINITION 6 fully and literally occurparties understand them to be a part of the agreement TERM 7 Implied in fact conditions are DIFFERENT to express conditions in that they must DEFINITION 7 They're not stated in express language, rather they're inferred from the terms of the contract , the nature of the transaction or the conduct of the parties TERM 8 Example of implied in fact conditions DEFINITION 8 If Fernando has to paint house, its IMPLIED that Peggy must tell hi what colour before he starts TERM 9 Implied in law AKA DEFINITION 9 constructive condition TERM 10 contingency understood by the parties to be part of the agreement, though not expressed. DEFINITION 10 Implied in Fact TERM 21 unexcused failure of a party to perform her promise DEFINITION 21 breach TERM 22 a ______ breach by on party operates as an excuse for __________ by the other party DEFINITION 22 material breachnonperformance TERM 23 nonperformance that significantly impairs the injured partys rights under the contract, and discharges the injured party from any further duty under the contract. DEFINITION 23 material breach TERM 24 An unjustified failure to perform ____ the obligation promised in a contract constitutes a _____ DEFINITION 24 SUBSTANTIALLYmaterial breach TERM 25 They key to material breach DEFINITION 25 whether the injured party obtained substantially what he bargained for or whether the breach significantly impaired his rights under the contract TERM 26 Rules that help determine if its a material breach DEFINITION 26 1) the extent to which the injured party will be deprived of the benefit which he reasonably expected2) the extent to which the injured party can be adequately compensated for the part of the benefit which they will be deprived3) the extent to which the party failing to perform will suffer forfeiture4) the likelihood that the party failing to perform will cure their failure , taking account of all the circumstances including any reasonable assurances5) the extent to which the behaviour of the party failing to perform comports with standards of good faith TERM 27 An _____ breach of contract is generally held to be ____ DEFINITION 27 INTENTIONALMATERIAL TERM 28 one partys substantial interference with or prevention of performance by the other; constitutes a material breach and discharges the other party to the contract. DEFINITION 28 Prevention of Performance TERM 29 standard under the Uniform Commercial Code that a sellers performance under a sales contract must strictly comply with contractual duties and that any deviation discharges the injured party. DEFINITION 29 Perfect Tender Rule TERM 30 Example of perfect tender DEFINITION 30 Deliver 99 correct parts and 1 incorrect part; the buyer can reject the improper delivery TERM 31 performance that is incomplete but that does not defeat the purpose of the contract; does not discharge the injured party but entitles him to damages. DEFINITION 31 Substantial performance TERM 32 an inability or refusal to perform, before performance is due, that is treated as a breach, allowing the nonrepudiating party to bring suit immediately. DEFINITION 32 Anticipatory Repudiation TERM 33 a material and fraudulent alteration of a written contract by a party to the contract; discharges the entire contract. DEFINITION 33 Unauthorised material alteration of written contract TERM 34 Does an unauthorised alteration i the terms of a contract by a person who is not a party to the contract discharge the contract? DEFINITION 34 NO TERM 35 an agreement between the parties to terminate their respective duties under the contract. DEFINITION 35 Mutual Rescission TERM 46 no promisor is able to perform; generally discharges the promisor. DEFINITION 46 Objective impossibility TERM 47 the promisor but not all promisors cannot perform; does not discharge the promisor. DEFINITION 47 Subjective impossibility TERM 48 death or incapacity on a person supposed to do _____ ____ discharges his contractual duty due to _____ impossibility DEFINITION 48 Personal servicesobjective TERM 49 Chairs destroyed in fire Factory where chairs would be made destroyed in fire Particular desk destroyed in fire DEFINITION 49 Not excused, still has to performduty dischargedduty discharged TERM 50 will discharge contract if it occurs without the promisors fault. DEFINITION 50 Destruction of Subject Matter TERM 51 if performance becomes illegal or impractical as a result of a change in the law, the duty of performance is discharged. DEFINITION 51 Subsequent illegality TERM 52 principal purpose of a contract cannot be fulfilled because of a subsequent event. DEFINITION 52 Frustration of Purpose TERM 53 Example of Frustration of purpose DEFINITION 53 King sick on day of coronation/ viewing rooms TERM 54 where performance can be accomplished only under unforeseen and unjust hardship. DEFINITION 54 Commercial Impracticability TERM 55 Example of commercial impracticability DEFINITION 55 Severe shortage of raw material from war, crop failure, oil rig shutdown TERM 56 party who has performed more may be entitled to restitution DEFINITION 56 Availability of restitution TERM 57 discharge available to a debtor who obtains an order of discharge by the _______ court. DEFINITION 57 bankruptcy TERM 58 after the ____ ___ ______ has run, the debt is not discharged, but the creditor cannot maintain an action against the debtor. DEFINITION 58 statute of limitations TERM 59 CHAPTER 18 DEFINITION 59 CONTRACT REMEDIES TERM 60 When one party to a contract breaches it by failing to perform their contractual duties, what does the law provide DEFINITION 60 a remedy for the injured party TERM 71 monetary damages are only awarded for losses that are DEFINITION 71 foreseeableestablished with reasonable certaintyunavoidable TERM 72 places the injured party in a position as good as the one he would have held had the other party performed DEFINITION 72 Compensatory Damages TERM 73 How is compensatory damages computed? DEFINITION 73 loss of value-loss avoided by injured party+ incidental damages+consequential damages. TERM 74 value of promised performance minus value of actual performance. DEFINITION 74 Loss of Value TERM 75 loss or costs the injured party avoids by not having to perform. DEFINITION 75 Cost avoided TERM 76 damages arising directly out of a breach of contract DEFINITION 76 Incidental damages TERM 77 damages not arising directly out of a breach but arising as a foreseeable result of the breach. DEFINITION 77 Consequential Damages TERM 78 Loss of value equation DEFINITION 78 Value of promised performanceValue of actual performance TERM 79 Costs incurred to acquire the non delivered performance from some other source DEFINITION 79 Incidental damages TERM 80 Example of incidental damages DEFINITION 80 800 dollars spent in reasonable fees to find a new job after you were fired without cause TERM 81 A defective machine that causes $100,000 in property damages and personal injury is an example of DEFINITION 81 consequential damages TERM 82 a small sum awarded where a contract has been breached but the loss is negligible or unproved. DEFINITION 82 Nominal damages TERM 83 The sum of nominal damages is _____ DEFINITION 83 fixed TERM 84 if florence contracts edward for $1000 flowers, and edward refuses to deliver them, and florence can buy them elsewhere for $1000 without any incidental damages, she can recover DEFINITION 84 nominal damages only TERM 85 ______ ______: contract damages placing the injured party in as good a position as she would have been in ____________________ DEFINITION 85 Reliance Damageshad the contract not been made. TERM 96 When remedy at law like compensation inadequate? DEFINITION 96 when personal property is rare, such as a painting, a patent, a copyright, shares of stock in a closely held corporation , or a heirloom TERM 97 When will courts always grant specific performance? DEFINITION 97 sale of REAL PROPERTY TERM 98 what kind of contracts will courts of equity NOT grant specific performance DEFINITION 98 contracts for personal service TERM 99 the act of returning the aggrieved party the consideration, or its value, which he gave to the other party DEFINITION 99 Restitution TERM 100 restoration of the injured party to the position she was in before the contract was made. DEFINITION 100 Restitution TERM 101 the purpose of restitution is to restore the injured party to DEFINITION 101 the position they occupied BEFORE THE CONTRACT was made TERM 102 What are the several contractual situations in which restitution is available ? DEFINITION 102 1) as an alternative remedy for a party injured by breach2) for a party in default3) fir a party who may not enforce a contract because of the statute of frauds4) for a party wishing to rescind (avoid) a voidable contract TERM 103 restitution as a remedy for breach of contract is NOT available against a defendant whose defaulted obligation is exclusively an obligation to ___ ____ DEFINITION 103 pay morey TERM 104 Beatrice makes partial payment of 15000, of 60000 sale of land. Bob wrongly refuses to transfer title. Beatrice can recover the 15,000. this is an example of DEFINITION 104 restitution TERM 105 if the other party totally breaches the contract by nonperformance or repudiation; does not apply when only obligation is money. DEFINITION 105 Party injured by breach TERM 106 for any benefit conferred in excess of the loss caused by the breach. DEFINITION 106 Party in Default TERM 107 where a contract is unenforceable because of the statute of frauds, a party may recover the benefits conferred on the other party in reliance on the contract. DEFINITION 107 Statute of Frauds TERM 108 a party who has avoided a contract is entitled to restitution for any benefit conferred on the other party. DEFINITION 108 Voidable contracts TERM 109 if remedies are not inconsistent, a party injured by a breach of contract may __________ DEFINITION 109 seek more than one TERM 110 a party with the power to avoid a contract may lose that power DEFINITION 110 Loss of power of avoidance