If appropriate assurance is not given in response to a demand for assurance of performance, the demanding party may:
A) treat the contract as repudiated.
B) sue for libel.
C) file for an insurance payment.
D) not replace the repudiated contract.

Question

Quizplus · Accepted Answer

If appropriate assurance is not given in response to a demand for assurance of performance, the demanding party may treat the contract as repudiated, meaning they can consider the contract to have been breached and terminate the agreement. This is the most logical response to non-compliance by the other party. The other options, like suing for libel, filing for an insurance payment, or not replacing the repudiated contract, are not relevant to the situation described.

If Appropriate Assurance Is Not Given in Response to a Demand