Deck 15: Remedies and Restitution

Question 1

The general rule is that a contract is discharged by performance only where the parties have performed their obligations exactly as they are set out in the contract.

Answer 1

True

Question 2

Which of the following are remedies available in addition or as an alternative to damages in some circumstances?

A) Punitive damages
B) Specific performance
C) Mediation
D) Injunctions

Answer 2

B,D

Question 3

Which two of the following are measures of damages?

A) Expectation interest
B) The loss
C) Reliance interest
D) Mutual interest

Answer 3

A,D

Question 4

Which of the following cases evidence the rule that damages for mental anguish cannot be recovered as a result of dismissal from a position of employment?

A) Reid v Anglia TV
B) Addis v Gramophone Company
C) Bliss v South East Thames RHA
D) South Australia Asset Management Corp v York Montague Ltd

Question 5

Which of the following is a contract breaker not liable for?

A) Displeasure
B) Vexation
C) Mental harm
D) Damage to reputation

Question 6

What is the purpose of awarding damages as a remedy?

Question 7

Why does English law place damages above all other remedies?

Question 8

Could any remedies usefully be added to those already available under English law?

Question 9

How does a court calculate the expectation interest in a situation where a profit is not certain or may vary over time?

Question 10

In Ruxley Electronics and Construction Ltd v Forsyth why did the court not award the full cost of cure?

Question 11

Does the recognition of 'loss of amenity' represent a useful development in the law of damages?

Question 12

What is the 'reliance interest'?

Question 13

What categories of non-pecuniary loss are recognised by the law?

Question 14

In what circumstances might non-compensatory damages be recovered?

Question 15

What is the rule of remoteness?

Question 16

How does the law determine what damage is too remote to be compensated?

Question 17

How satisfactorily does the law determine which events are in the 'reasonable contemplation' of the parties?

Question 18

Does the House of Lords decision in Transfield Shipping Inc v Mercator Shipping Inc make any substantial changes to the concept of remoteness?

Question 19

The test set out in Hadley v Baxendale has how many aspects?

A) 1
B) 2
C) 3
D) 4

Question 20

In which case was a party not liable to pay damages for a robbery that occured when a flight was delayed for some days?

A) Wise v British Airways
B) Wiseman v British Airways
C) Wiseman v Virgin Atlantic Airlines
D) West v Virgin Atlantic Airlines

Question 21

The rule on the remoteness of loss for which damage can be recovered is first set out in which case?

A) The Heron II
B) Jackson v Royal Bank of Scotland
C) Hadley v Baxendale
D) Victoria Laundry (Windsor) Ltd v Newman Industries

Question 22

In Re Moore & Co and Landauer & Co a contract was held not to be discharged because the canned food was not packaged as agreed.

Question 23

In Arcos Ltd v EA Ronaasen & Son a contract was held not discharged because the timber supplied was 1/8 of an inch thicker than agreed, despite being usable for its intended purpose.

Question 24

Generally, a party who has failed to fully perform all obligations may not claim for having fulfilled any obligations.

Question 25

A severable contract is useful because it permits a party who has failed to complete their obligations a claim for what has been done.

Question 26

A repudiatory breach of a contract will usually bring a contract to an end whether or not that is the intention of the parties.

Question 27

Terms implied by the Sale of Goods Act are categorised as conditions and warranties.

Question 28

In Schuler v Wickman the House of Lords saw fit to disregard the labelling of a contractual terms as a 'condition' as the contract could not be interpreted in such a way as to accord with this.

Question 29

Today, all terms must be regarded as innominate.

Question 30

English contract law does not award punitive damages.

Question 31

The objective when calculating damages is to restore the victim to the position they would have been in had the contract been performed.

Question 32

An award of the reliance interest of damages will seek to compensate the victim of the contract breach for costs incurred in the performance of the contract.

Question 33

As a general rule, dismissal from a position of employment can give rise to a claim for mental distress?

Question 34

Malik v BCCI changes the law in respect of claims for injury to feelings?

Question 35

Damages can be awarded for physical inconvenience and discomfort.

Question 36

In Parsons (Livestock) Ltd v Uttley Ingham & Co Ltd the supplier of feed for pigs was held liable when mould growing on the feed caused many of them to die - this was a sufficiently foreseeable consequence, even if the exact cause of death was not contemplated.

Question 37

A liquidated damages clause allows the parties to specify any sum they consider to be appropriate compensation for a breach of contract?

Question 38

In Ruxley Electronics and Construction Ltd v Forsyth the contract was breached because the swmming pool was too shallow by how much?

A) 7 inches
B) 8 inches
C) 9 inches
D) 10 inches

Question 39

Why do parties utilise a liquidated damages clause?

Question 40

Jason, a celebrated actor, is hired by Vanderbol TV to star in a new drama. While negotiations are taking place, Vanderbol goes into considerable expense in finding a suitable on-screen partner to Jason, with his knowledge. If Jason breaches the contract Vandermol could:

A) Claim damages for loss including pre-contractual expenditure
B) Claim damages for loss covering expenditure after the signing of the contract
C) Claim for loss of profits
D) Not be able to claim for any loss

Question 41

The normal remedy for breach of contract is:

A) Damages
B) Specific performance
C) Imprisonment
D) All of the above

Question 42

Which of the following types of loss is normally not recoverable for breach of contract?

A) Loss of profit
B) Loss of expenditure
C) Disappointment
D) Consequential Loss

Question 43

In which of the following cases was the claimant able to recover damages for their disappointment?

A) Attorney General par Blake
B) Anglia TV par Reed
C) Addis par Gramophone
D) Jarvis par Swan Tours

Question 44

Damages are limited by:

A) The rules of remoteness
B) The rules of mitigation
C) Both of the above
D) None of the above

Question 45

In case of breach of a condition of the contract would it possible:

A) To terminate the contract?
B) To obtain an order of specific performance?
C) To obtain damages?
D) Any of the above depending on the circumstances?

Question 46

What is meant by 'pecuniary loss'?

A) Monetary loss
B) Non monetary loss
C) Physical injury
D) Mental distress

Question 47

Non pecuniary losses when assessing damages are:

A) Never taken into account
B) Always taken into account
C) Only taken into account if pecuniary losses are found
D) Only in exceptional circumstances

Question 48

What is meant by 'total failure of consideration'?

A) That no value has been provided by a contractual party
B) That the parties did not properly consider the contract
C) That a party has failed to perform fully
D) That the contract is void

Question 49

In which of the following situations would a party not be able to recover money?

A) Where there has been a total failure of consideration
B) Where a payment has been made on the basis of a mistake of fact
C) Where a payment has been made on the basis of a mistake of law
D) When the price paid was too high compared to the value of the goods

Question 50

What is 'quantum meruit'?

A) Payment for an amount equivalent to the value of the conferred benefit
B) Payment for an amount higher of the value of the conferred benefit
C) Payment for an amount lower of the value of the conferred benefit
D) Latin for consideration

Question 51

When will recovery for quantum meruit not be made?

A) Where a contract has been broken and the victim would be left without a remedy
B) Where the contract was void
C) Where a contractor has performed unsatisfactorily
D) Where the parties failed to finalise their agreement

Question 52

How did the Law Reform (Frustrated Contracts) Act 1943 affect the rules on compensation for frustration?

A) Confirmed that a total failure of consideration is needed for recovery of money paid
B) Created an exception to the rules of restitution as to recovery for frustration
C) Changed nothing
D) Abolished recovery of money in restitution