Question 1

The measure of damages for breach of a construction contract depends on which party breaches and when.

Accepted Answer

The measure of damages for breach of a construction contract varies depending on the party that breaches and the timing of the breach. Generally, the non-breaching party is entitled to recover the costs of completing the project or the value of the work not performed, as well as any other damages caused by the breach. However, the specific measure of damages can vary based on the terms of the contract and the applicable law.

Question 2

Compensatory damages compensate the injured party for injuries sustained due to loss of the contract and also punish the party that breached the contract.

Accepted Answer

Compensatory damages are intended to compensate the injured party for losses due to a breach of contract, not to punish the breaching party. Punitive damages are meant to punish wrongdoing, but they are not typically awarded in contract cases.

Question 3

Punitive damages are recoverable in contract law for an intentional breach of contract.

Accepted Answer

False

Question 4

The measure of damages for the breach of a contract for a sale of land de-pends on which party breaches and when.

Accepted Answer

The answer of The measure of damages for the breach...

Question 5

In a contract for a sale of goods,the usual measure of compensatory dam-ages is the difference between the contract price and the market price.

Accepted Answer

This is correct. The measure of compensatory damages in a contract for the sale of goods is generally calculated as the difference between the contract price and the market price at the time of the breach.

Question 6

Compensatory damages compensate an injured party for damages arising from the loss of a bargain caused by a breach of contract.

Accepted Answer

Compensatory damages are awarded to compensate the injured party for losses directly resulting from a breach of contract. This includes damages for loss of the bargain, which means the difference between the value of what the injured party was promised and what they received as a result of the breach.

Question 7

A breach of contract entitles the nonbreaching party to sue for monetary damages.

Accepted Answer

A breach of contract typically entitles the nonbreaching party to sue for damages, including but not limited to financial losses resulting from the breach.

Question 8

Ordinarily,the remedy for a seller's breach of a contract for a sale of real estate is damages.

Accepted Answer

The ordinary remedy for a seller's breach of a contract for a sale of real estate is specific performance, not damages, because real estate is considered unique.

Question 9

Punitive damages are generally available in contract disputes.

Accepted Answer

Punitive damages are typically not available in contract disputes because they are meant to punish and deter intentional or reckless behavior, whereas breach of contract is usually a matter of negligence or a failure to fulfill a contractual obligation. In rare cases, punitive damages may be awarded if the breach involved fraud, malice, or other egregious conduct.

Question 10

A remedy is the relief provided to an innocent contracting party when the other party breaches the contract.

Accepted Answer

This statement is true. A remedy is a legal means of providing relief to an innocent party when the other party breaches the contract. Remedy may include specific performance, monetary damages, or cancellation and restitution.

Question 11

A party seeking to recover compensatory damages cannot also recover in-cidental damages.

Accepted Answer

A party seeking to recover compensatory damages may also recover incidental damages, which are damages that result directly from a breach of contract, such as expenses incurred to avoid or mitigate the harm caused by the breach.

Question 12

Consequential damages are foreseeable damages that arise from a party's breach of a contract.

Accepted Answer

Consequential damages are damages that were reasonably foreseeable but were caused indirectly by the breach, such as lost profits or other economic losses.

Question 13

The injury suffered by a nonbreaching party due to the breach of a con-tract may be remedied by payment of compensatory damages.

Accepted Answer

Compensatory damages are awarded to the nonbreaching party to remedy the injury or loss suffered as a result of the breach of contract.

Question 14

Consequential damages are awarded to cover all of the remote conse-quences of whatever injury a nonbreaching party suffers.

Accepted Answer

The answer of Consequential damages are awarded to cover all...

Question 15

Normally,when a nonbreaching party has been damaged by a breach of contract,he or she does not have a duty to mitigate those damages.

Accepted Answer

The nonbreaching party has a duty to mitigate damages, which means taking reasonable steps to minimize the harm caused by the breach. Failure to mitigate may limit the damages the nonbreaching party can recover in a lawsuit.

Question 16

If a party breaches a contract,the other party can choose one or more of several remedies.

Accepted Answer

When one party breaches a contract, the other party may choose to seek one or more remedies such as specific performance, damages, or rescission.

Question 17

Expenses that are caused directly by a breach of contract-such as those in-curred to obtain performance from another source-are compensatory dam-ages.

Accepted Answer

The answer of Expenses that are caused directly by a...

Question 18

Special damages are awarded for damage caused by special circumstances beyond a contract.

Accepted Answer

Special damages are awarded for damage caused by special circumstances beyond a contract, such as lost profits or lost earning capacity.

Question 19

The measurement of compensatory damages for breach of contract is the same for all types of contracts.

Accepted Answer

The measurement of compensatory damages for breach of contract can vary depending on the type of contract and the specific terms and circumstances of the breach. For example, the measure of damages for a breach of a sale of goods contract may be different from the measure of damages for a breach of a service contract.

Question 20

The duty owed under the mitigation of damages doctrine depends on the nature of the contract.

Accepted Answer

The duty owed under the mitigation of damages doctrine varies depending on the type of contract, such as a sales contract, employment contract, or construction contract. There is no one-size-fits-all duty owed, but rather it depends on the specific terms of the contract and the circumstances surrounding the breach.

Quiz 13: Breach and Remedies