Twyla's dock is damaged in a boating accident caused by Ulrich's negligence. Twyla agrees not to sue him if he will pay for the damage. If Ulrich fails to pay, Twyla can bring an action for breach of contract. This is
A) a covenant not to sue.
B) an illusory promise.
C) an unforeseen difficulty.
D) a release.

Question

Twyla's dock is damaged in a boating accident caused by Ulrich's negligence. Twyla agrees not to sue him if he will pay for the damage. If Ulrich fails to pay, Twyla can bring an action for breach of contract. This is​
A) ​a covenant not to sue.
B) ​an illusory promise.
C) ​an unforeseen difficulty.
D) ​a release.

Quizplus · Accepted Answer

This scenario describes a covenant not to sue, where Twyla agrees not to sue Ulrich in exchange for his agreement to pay for the damage. This is a binding agreement that can lead to a breach of contract action if Ulrich fails to pay.

Twyla's Dock Is Damaged in a Boating Accident Caused by Ulrich's