Book quiz 13

As a general rule, punitive damages: a. are not awarded in a breach of contract case. b. are often awarded in construction cases. c. are always available to plaintiffs who are minors. d. are available to award an innocent party when a technical injury with no actual damages occurs.

a

Suppose that Jennifer agrees to tutor Sal's children during the summer. After one week, Jennifer decides that she can't handle the children and refuses to tutor them any longer. If Sal sues Jennifer for specific performance, a court would likely: a. refuse to order specific performance of the contract because it is a contract for personal services. b. grant Sal's request, because Jennifer breached her contract. c. grant Sal's request, but only if Sal could not find another tutor. d. require Jennifer to mitigate her damages.

a

Suppose that one person has partially performed his or her obligations under an unenforceable contract. If the performing party wants some compensation for this performance, which remedy could he or she seek? a. Recovery based on quasi contract. b. Recovery based on attenuation. c. Recovery based on specific performance. d. Recovery based on reformation.

a

The purpose of compensatory damages is: a. to provide the nonbreaching party with sufficient money to pay for any injuries or damages actually sustained. b. to severely punish the breaching party. c. to provide a small "slap on the wrist" to the breaching party. d. to provide the breaching party with a way to mitigate damages.

a

A provision in a contract stating that no damages may be recovered is called: a. a contributory clause. b. an exculpatory clause. c. an indentured clause. d. a force majeure clause.

b

Consequential damages are: a. damages in a very small amount, usually $1, to show that the plaintiff did suffer a legal harm. b. special, forseeable damages that compensate for a loss that does not directly or immediately result from a breach of contract. c. damages that compensate a party for actual losses. d. damages that punish a breaching party.

b

If Valerie contracts with Bill to build a stone wall on his property and Valerie breaches the contract, Bill is under a legal obligation to: a. wait until Valerie is ready to build the stone wall. b. mitigate his damages. c. do nothing, because he is the innocent party and thus has no legal duties. d. absorb all of the costs associated with Valerie's breach.

b

In order for a party to recover based on a claim of quasi contract, that party must be able to prove which of the following: a. that no benefit was conferred on the other party. b. that he or she expected to be paid for her performance. c. that he or she acted as a volunteer when she performed. d. that the other party would not be unjustly enriched if she failed to recover.

b

In order to prevent plaintiffs from recovering twice, plaintiffs are required under the common law to: a. sue only in state courts. b. elect which remedy they wish to pursue. c. sue only in federal courts. d. sue only for nominal damages.

b

Marie contracts to buy coffee beans for her store from Zoe. The contract price is $4.50 per pound of Costa Rican coffee. Zoe breaches her contract and delivers no coffee. How would a court determine Marie's damages? a. They would ask Marie how much money she wants and give that amount to her. b. They would compare the market price of coffee to the contract price and give Marie the difference. c. They would ask Zoe what she can afford to pay and give Marie that amount. d. They would ask the coffee manufacture to pay Marie because a coffee seller breached a contract.

b

The purpose of nominal damages is: a. to punish the party who breached a contract by imposing a heavy fine. b. to establish that the defendant acted wrongfully. c. to compensate the plaintiff for harms suffered as a result of the defendant's breach of contract. d. compensate a breaching party for the time and trouble involved in defending against a lawsuit brought by the nonbreaching party.

b

Vicky contracts with Bob to have him build a new kitchen in her home. Vicky, however, changes her mind and breaches the contract before Bob can begin work. What remedy can Bob seek in this case? a. The entire contract price. b. Expected profits from the contract (the total contract price less the cost of materials and labor). c. The contract price plus interest. d. Nothing, because Bob has not yet begun work on the project.

b

Which of the following is not an equitable remedy? a. Rescission and restitution. b. Money damages. c. Specific performance. d. Reformation

b

If Luis contracts with Greenfield to buy several of his dairy cows and if Greenfield delivers the cows but Luis doesn't pay, Greenfield may get his cows back if he asks a court for a remedy of: a. reformation. b. novation. c. rescission and restitution. d. specific performance.

c

In the landmark case of Hadley v. Baxendale, the key issue was: a. whether the court could award compensatory damages. b. whether it was negligent to transport a crankshaft. c. whether the court could award consequential damages. d. whether American courts recognized the doctrine of privity of contract.

c

Suppose now that Luis pays Greenfield, but Greenfield does not deliver the cows, so Greenfield is in breach of contract. If Luis wants those particular cows from Greenfield, which remedy would he seek? a. Compensatory damages. b. Consequential damages. c. Specific performance. d. Rescission and restitution.

c

Suppose that you buy a new Volkswagen Passat automobile and sign a contract with Volkswagen saying that you will never in the future sue them for any personal injuries you may receive as a result of a faulty car. In exchange for your promise, the dealer reduces the price of the car by $6,500. What do you call such a provision? a. A dormant commerce clause. b. A valid liquidated damages clause. c. An exculpatory clause. d. A revisionary clause.

c

The case of Fujitsu Ltd. v. Federal Express Corp. involved which of the following contractual duties? a. The duty to liquidate damages. b. The duty of reformation. c. The duty to mitigate damages. d. The duty of restoration.

c

When a party to a contract breaches the contract, the other party is legally entitled to: a. an apology. b. nothing, because breaches are legally permissible and have no consequences. c. money damages. d. prosecute the breaching party for a criminal violation.

c

Liquidated damages may be defined as: a. damages to compensate a small technical harm. b. an unspecified dollar amount payable in case of breach of contract. c. a punishment for a default on a contractual term. d. a specific dollar amount to be paid in the event of a future default or breach of contract.

d

Samuel and Ann have a contract for the sale of 500 copies of a book. The contract price is $3.50 per book. Samuel breaches the contract by not delivering the books to Ann. At the time of the breach, the books are available from the publisher for $4.50 a copy. What are Ann's damages? a. $1,650. b. $1,275. c. $750. d. $500.

d

When the remedy of specific performance is not possible, what is the measure of damages in a case involving the sale of land? a. The foreseeable damages that result. b. The degree to which the defendant must be punished. c. Some small amount that acknowledges a technical injury. d. The market price of the land.

d