Sarah is a baker and orders free-range eggs from a local supplier which she uses to make cakes. There is a contract in place which included a specification that states that the eggs must be free-range. One day the supplier delivers eggs which Sarah uses in the cakes. Later she dis-covered that these were...
A breach of representation by party A in a contract would allow party B to do what?
A breach of representation by party A in a contract would allow party B to do what?A . rescind the contract B. claim damages C. rescind the contract and claim damages D. nothing – this is not a fundamental breach View Answer Answer: C Explanation: A breach of representation is a major/ fundamental breach...
Which of the following statements regarding subcontracting is true?
Derrek owns a factory and employs a Facilities Management Company called Balls FM to look after certain aspects of the factory including cleaning and testing the machinery to ensure they are in good working condition. One day he realises that one of the cleaners doesn’t work for Balls FM, he works for another company...
Which of the following will you put into box 5?
Which of the following will you put into box 5?A . Condition B. Warranty C. Innominate Term View Answer Answer: A Explanation: The correct answers are as follows: Table Description automatically generated This is a condition as it is fundamental to the contract....
Which of the following statements is correct?
Parky Parks Ltd has a contract with Slides R Us for the provision of children’s playground equipment. The contract contains a clause for liquidated damages and puts the figure at £500k. Which of the following statements is correct? Select TWOA . Liquidated damages needs to be a 100% accurate figure B. If damages exceed...
Who generally wins the Battle?
An exchange of written documents between a buyer and supplier, each detailing their own Terms and Conditions is known as the Battle of the Forms. Who generally wins the Battle?A . The party who issued the first document B. The party who issued the last document C. The party with the greatest liability D....
What is the name given to a term in a contract where one party promises to compensate the other party for a trigger event?
What is the name given to a term in a contract where one party promises to compensate the other party for a trigger event?A . liability B. warranty C. damages D. indemnity View Answer Answer: D Explanation: Indemnity- this is the definition given on p. 20...
A failure to perform a provision of a contract which does not affect the end performance of the contract is known as what?
A failure to perform a provision of a contract which does not affect the end performance of the contract is known as what?A . small breach B. minor breach C. major breach D. warranty breach View Answer Answer: B Explanation: This is a minor breach. This is the definition as given in the study...
Which of these is NOT a stage in negotiation?
Which of these is NOT a stage in negotiation?A . proposal B. agreement C. bargaining D. adjourning View Answer Answer: D Explanation: Adjourning is not a stage. The 6 stages of negotiation are; preparation, opening, discussion, pro-posal, bargaining and agreement. P.64...
Which of the following statements about Restitution Measures is TRUE?
Restitution Measures are an award which seeks to return the value of a benefit which has been seen to be unfairly received. Which of the following statements about Restitution Measures is TRUE? Select TWOA . restitution damages intend to return the innocent party to the position they were in be-fore the contract B. restitution...