Mastering Contract Performance: A Comprehensive Guide for Law Students

Question 1

Which of the following is an exception to valid contractual performance?

Accepted Answer

Impossibility

Answer

Actual performance

Answer

Specific performance

Answer

Substituted performance

Question 2

What is the legal consequence of a party failing to fulfill their contractual obligations?

Accepted Answer

Breach of contract

Answer

Discharge of the contract

Answer

Formation of a new contract

Answer

Variation of the contract

Question 3

What is the distinction between actual performance and substantial performance in contract law?

Accepted Answer

Actual performance requires precise compliance with the contractual terms, while substantial performance permits immaterial deviations.

Answer

Actual performance is only applicable to written contracts

Question 4

Which of the following factors may NOT be relevant in determining whether there has been a breach of contract?

Accepted Answer

The subjective intent of the parties

Answer

The context surrounding the performance

Answer

The terms of the contract

Answer

The applicable law

Question 5

What is the meaning of the doctrine of frustration of purpose?

Accepted Answer

It may excuse performance when an unforeseen event makes the intended purpose of the contract impossible or substantially different from its original purpose.

Answer

It allows parties to terminate a contract at any time without penalty.

Question 6

Which of the following is NOT a potential defense to a claim for breach of contract?

Accepted Answer

Impossibility of performance due to an obstacle created by the party claiming impossibility

Answer

Illegality

Answer

Mistake

Question 7

What is the distinction between anticipatory breach and actual breach of contract?

Accepted Answer

Anticipatory breach occurs before the date set for performance, while actual breach occurs on or after that date.

Answer

Anticipatory breach is not actionable.

Question 8

Which of the following is NOT a consideration when determining the adequacy of damages for breach of contract?

Accepted Answer

Emotional distress suffered by the non-breaching party

Answer

Foreseeability of the loss

Answer

Actual financial loss suffered by the non-breaching party

Question 9

What is the primary difference between rescission and specific performance as remedies for breach of contract?

Accepted Answer

Rescission aims to restore the parties to their pre-contractual positions, whereas specific performance compels the breaching party to fulfill their contractual obligations.

Answer

Rescission is solely available when the contract is fraudulent.

Question 10

Which of the following is an obligation of parties to a contract?

Accepted Answer

To perform their contractual duties

Answer

To breach the contract

Answer

To mitigate losses

Answer

To act in bad faith

Question 11

What is the primary consequence of non-performance of a contract?

Accepted Answer

Breach of contract

Answer

Frustration of contract

Answer

Rescission of contract

Answer

Unjust enrichment

Question 12

What is the purpose of the mitigation of losses principle in contract law?

Accepted Answer

To reduce the amount of damages recoverable by the affected party

Answer

To excuse the non-performing party from liability

Answer

To allow the affected party to recover additional damages

Question 13

Which of the following is NOT a factor considered when assessing the adequacy of a remedy for breach of contract?

Accepted Answer

The cost to the plaintiff

Answer

The expectations of the parties

Answer

The nature of the breach

Answer

The severity of the loss suffered by the plaintiff

Question 14

What contractual term imposes an absolute obligation on a party to fulfill their promise, giving rise to the right to terminate the contract if breached?

Accepted Answer

Condition

Answer

Warranty

Answer

Exemption clause

Answer

Innominate term

Question 15

Which remedy for breach of contract awards monetary compensation for the losses suffered?

Accepted Answer

Damages

Answer

Injunction

Answer

Rescission

Answer

Specific performance

Question 16

In contract law, what is the effect of substantial performance?

Accepted Answer

It excuses minor, immaterial breaches of contract.

Answer

It allows either party to terminate the contract.

Answer

It implies a perfect performance obligation.

Question 17

Which defense to non-performance of a contract excuses performance due to unforeseen circumstances making it impossible or radically different?

Accepted Answer

Frustration

Answer

Illegality

Answer

Lack of privity

Answer

Misrepresentation

Question 18

Which legal principle prevents a party from relying on their own breach of contract as an excuse for non-performance?

Accepted Answer

Prevention principle

Answer

Anticipatory breach

Answer

Promissory estoppel

Answer

Mitigation principle

Question 19

What constitutes anticipatory breach of contract?

Accepted Answer

A party clearly repudiating their contractual obligations before the due date for performance.

Answer

A party failing to perform their contractual obligations on the due date.

Question 20

What is the primary legal consequence of a breach of condition in a contract?

Accepted Answer

It gives the innocent party the right to terminate the contract.

Answer

It gives the innocent party no legal rights.

Answer

It gives the innocent party the right to damages only.

Question 21

Which factor is generally not considered by courts when determining whether a contractual term is a condition?

Accepted Answer