Question 1

Robert enters into a contract with Claire.Claire agrees to paint Robert's living room for $500.Claire is the
A)obligor.
B)obligee.
C)assignee.
D)assignor.

Accepted Answer

Claire is the obligor because she is the one who has agreed to perform the obligation of painting Robert's living room.

Question 2

Performance can be accomplished by tender.

Accepted Answer

Tendering is a process where bids are invited from different vendors for a specific project or job. If a vendor's bid is selected, then they are expected to perform the job as per the terms and conditions mentioned in the tender document. Thus, performance can be accomplished by tender.

Question 3

If one party's performance is substantial,the other party's duty to perform remains absolute.

Accepted Answer

This is known as the "substantial performance doctrine" and it means that if one party has performed enough of their obligations under the contract, the other party still has an absolute duty to perform their responsibilities. However, the first party may be entitled to some form of compensation or damages if their performance was not entirely complete.

Question 4

In most contracts,promises of performance are expressly qualified.

Accepted Answer

The answer of In most contracts,promises of performance are expressly...

Question 5

Tender is a timely offer or expression of willingness to pay a debt or perform an obligation.

Accepted Answer

This is the correct definition of a tender.

Question 6

A material breach occurs when performance is substantial,but not complete.

Accepted Answer

A material breach occurs when the breach is so significant that it undermines the contract's very essence, preventing the contract from being fully performed or completed as intended.

Question 7

Only personal contracts can be discharged by agreement of the parties.

Accepted Answer

The answer of Only personal contracts can be discharged by...

Question 8

In most contracts,promises of performance are not expressly conditioned.

Accepted Answer

In most contracts, promises of performance are not expressly conditioned. This means that unless a condition is explicitly specified in the contract, the parties are expected to fulfill their promises as agreed upon without any additional requirements or limitations. However, there may be situations where conditions are implied or arise from the circumstances of the contract.

Question 9

In all contracts,absolute promises are expressly conditioned.

Accepted Answer

Absolute promises are not expressly conditioned in all contracts. There are certain types of contracts, such as unilateral contracts, where an absolute promise is not conditioned on any other party's performance. However, in most contracts, promises are conditional on the performance of other parties or the occurrence of certain events.

Question 10

A breach of contract occurs only when a party fails to perform all of his or her duties under a contract.

Accepted Answer

A breach of contract can occur when a party fails to perform any of their duties under a contract, not necessarily all of them. Even a minor failure can be considered a breach of contract.

Question 11

Stephanie's sale of rights she has under a contract with Runway Retail,Inc.,to buy the retailer's clothing overstock is
A)a delegation.
B)an assignment.
C)a third party beneficiary contract.
D)none of the choices.

Accepted Answer

Stephanie is transferring her rights under the contract to buy the retailer's clothing overstock, which is known as an assignment.

Question 12

Performance that provides a party with most of the benefits of a con-tract,in spite of a deviation from the terms,is substantial performance.

Accepted Answer

Substantial performance occurs when a party has fulfilled most of the obligations of a contract, but with minor deviations. Even though they have not fully complied with the terms, they have still provided the other party with most of the benefits of the contract. This can allow the other party to still receive some payment or other compensation, despite the deviation.

Question 13

Will owes Jenny $1,000.Brad owes Will $1,000.Will unconditionally assigns his rights to Jenny.Will's right to the $1,000 is then
A)unchanged.
B)extinguished.
C)assigned to a court.

Accepted Answer

By unconditionally assigning his rights to Jenny, Will is effectively transferring his debt to her. Therefore, his right to the $1,000 is extinguished, as he no longer has any claim to it.

Question 14

A novation occurs when there is a substitution,by agreement,of a new contract for an old one,with the rights under the old one being terminated.

Accepted Answer

This is the definition of novation, which involves the substitution of a new contract and the termination of the old one.

Question 15

A party is entitled to cancel a contract based on the other party's material breach.

Accepted Answer

A material breach is a significant violation of the terms or conditions of a contract, and it gives the non-breaching party the right to cancel the contract. Therefore, a party is entitled to cancel a contract based on the other party's material breach.

Question 16

Jayson and MaryElise enter into a contract.Jayson agrees to mow MaryElise's yard every week for the summer.MaryElise is the
A)obligor.
B)obligee.
C)assignee.
D)assignor.

Accepted Answer

In a contract, the obligor is the party who has a duty to perform or undertake an action, while the obligee is the party who has the right to receive the benefits or performance of the contract. In this scenario, Jayson is the obligor who has agreed to mow MaryElise's yard every week, and MaryElise is the obligee who has the right to receive the performance of the contract. Therefore, the correct answer is B.

Question 17

A novation requires the existence of a previous,valid obligation.

Accepted Answer

A novation is a process in which a new contract replaces an existing one, but it cannot exist without the previous obligation. In a novation, the original parties are released from their obligations under the old contract and the new parties become bound by the terms of the new contract.

Question 18

A condition that must be fulfilled before a party's performance can be required is a concurrent condition.

Accepted Answer

The answer of A condition that must be fulfilled before...

Question 19

Regional Steel,Inc.,and Overland Transport Company enter into a con-tract. Smooth Oil Corporation,which will indirectly benefit from the deal,is prevented from having rights under the contract by the principle of
A)assignment.
B)delegation.
C)privity.
D)vesting.

Accepted Answer

The principle of privity states that only the parties to a contract have rights and obligations under it. Smooth Oil Corporation, being an indirect beneficiary, does not have privity and therefore cannot enforce any rights under the contract. The other options, assignment, delegation, and vesting, do not apply in this scenario.

Question 20

Objective impossibility discharges a contract.

Accepted Answer

Objective impossibility refers to a situation where the subject matter of the contract cannot be performed due to factors beyond the control of either party. In such cases, the contract is discharged and both parties are released from their obligations.

Quiz 12: Third Party Rights and Discharge

Robert enters into a contract with Claire.Claire agrees to paint Robert's living room for $500.Claire is the