Contracts - Discharge of Contracts: Help and Review Chapter Exam

Exam Instructions:

Choose your answers to the questions and click 'Next' to see the next set of questions. You can skip questions if you would like and come back to them later with the yellow "Go To First Skipped Question" button. When you have completed the practice exam, a green submit button will appear. Click it to see your results. Good luck!

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Question 1 1. Marcia bought a new sportscar. Her monthly payments are $550 per month. When Marcia signed the contract, she had a good job and was able to make her payments. A few months later, she was terminated and could no longer satisfy the car loan. She talked to her sister, Patricia, who agreed to assume the payments. Both ladies went to the car dealer to change the terms. What type of discharge occurred?

Question 2 2. Paulo is an importer of nuts and dried fruits. He scours the earth to find the most exotic treats to sell in his nut shop. On a recent visit to a new country, Zulalania, he discovered the most luscious nuts he had ever tasted. He immediately contracted for a large shipment to the United States. When he returned to the States, he was notified by US Customs that nuts from Zulalania were not allowed in the country due to customs regulations. What can Paulo do to get out of the contract?

Question 3 3. The reason for compensatory damage is to _____.

Question 4 4. Mr. Whittaker owns a candy shop in town. He had been there for years. Everyone enjoys his sweet treats. In fact, his chocolate shop was so popular that he was even featured on a food-related television show. Soon after airing, people recognized the brand and flocked to Mr. Whittaker's store just to buy some of his treats. The shop has developed:

Question 5 5. Which of the following is NOT a reason a contract can be discharged?

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Question 6 6. Ziggy and Bernie want to start a lawn care business. Neither of the men know much about the law and neither of them could draft a simple contract. For their first client, Melba, they drafted the following: 'We will cut your grass when it looks long and straggly. We will send you a bill or else we will just wait for you to pay us. We may come on Sunday or Tuesday, but most likely Thursday. Sometimes we don't like to work.' Which of the following is true for the above scenario?

Question 7 7. Bubba is the BBQ King of the Community. He recently purchased a smoker and leased a piece of land in the community to smoke his world famous ribs. The landlord had no idea what Bubba planned for the space and neighbors began complaining about smoke coming through their windows and doors. The landlord asked Bubba to stop smoking meats to which Bubba refused. The landlord took Bubba to court to get _____.

Question 8 8. Which of the following statements describes the meaning of public policy?

Question 9 9. Libby wanted to create a lottery to make money on some of her vintage clothing. Can she do this if her State does not allow gambling?

Question 10 10. Stern wanted some quick cash so he removed the real diamond from his wife's engagement ring, replaced it with a fake diamond, and posted the ring for sale on an popular online marketplace. He received an offer and sold the ring to Damon. Damon took the ring to be appraised and found out he'd been duped. What might the judge do?

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Question 11 11. Jack hired Matt to shovel snow from his driveway. Once Matt completed the work and is paid by Jack, what happens to the contract?

Question 12 12.

Penelope saved all of her money so she could have a tummy tuck and a nose job. She signed a contract with Dr. Shapiro and paid him in full and the operation scheduled in a week. In the meantime, Dr. Shapiro had an unforeseen accident in his ceramics class. He burned his hands while taking a vase he created out of the kiln. Unfortunately, he will never be able to perform surgery again.

What can Dr. Shapiro do to get out of the contract with Penelope?

Question 13 13. Peggy was hired to paint a mural of Diane's beloved dog. Peggy sprained her painting arm on the day before the start date. After agreeing on a new date, the parties went forward with their plan. What type of breach occurred?

Question 14 14. What makes a contract legally binding?

Question 15 15. Brenda purchased all of the supplies to sew Mary's wedding dress. A few weeks before the wedding, Mary called to inform Brenda that her future husband ran off with her sister. Although Brenda was sympathetic to her heartbreak, she wanted to be paid for the stuff she purchased. So, she took Mary to court. Since the fabric wasn't cut yet, what might the judge recommend?

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Question 16 16. Harry and Joe were hanging around the bar when Harry proposed that Joe buy his boat for $500. Joe jumped at the chance to make the deal and paid him on the spot. Harry legally owned the boat, both are adults and nothing illegal was written into the contract. Harry delivered the boat three days later. The next week, Joe had regrets. What can Joe do?

Question 17 17. Identify the statement that is true to Blue Laws.

Question 18 18. Pete knew he could be with Doris if he just found a way to get rid of his wife, Marjorie. Pete decided to pay Marjorie's mechanic to loosen the brake cables of Majorie's bike so when she rides down a steep hill, she will not be able to stop. Pete wrote a contract and presented it to the mechanic. The mechanic agreed, took a $500 deposit and signed the contract. Is this contract enforceable?

Question 19 19. Melba contracted Fiona's Fencing Company to have a fence installed. When Fiona arrived to start the digging, she realized that the job was much tougher than she expected because the fence needed to be installed into rock, not dirt and decided to stop the work. Melba took Fiona to court. If you are the judge on the case, what will you most likely order?

Question 20 20. Extortion is sometimes called _____.

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Question 21 21. The right to a free public education is considered a:

Question 22 22. Simone was walking down the street when suddenly her heel became lodged in a sidewalk crack. She fell and broke her leg, but a man rushed over and quickly tied a tree limb to her leg and began treating an open cut. He then wrote her a bill for $150.00 for serviced rendered. What type of contract allows for this?

Question 23 23. What type of license is needed to practice law or medicine?

Question 24 24. Pierre the Chef contracted to cook for a large dinner party at Ms. Hanrahan's estate. Unfortunately, the day before he was supposed to perform the catering, he was pulled over and arrested for drinking too much cooking sherry and driving. Since he was in jail, the job had to be canceled. What type of breach occurred?

Question 25 25. Trevor took a job at an aeronautical company. This is the only company with the formula to build shuttles to Mars. Trevor will learn the trade secret when he starts the job. What will the company put in his employment contract?

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Question 26 26. Sally wanted to furnish her bedroom. She resorted to an online seller and called about a table and chairs. The price was right and it was in her neighborhood. After making the purchase, her Mom freaked out and called the seller to inform him that Sally is actually seventeen and was unable to enter into a contract until next week on her eighteenth birthday. The seller refused to give her money back. What is likely to happen?

Question 27 27. What kind of equitable remedy happens when a previously existing contract is breached, then rewritten to the satisfaction of both parties?

Question 28 28.

Sonny needed a quick few bucks to take his girlfriend out for a shake and fries. Since Sonny doesn't work, he sometimes takes a few oranges from the groves on the side of the highway and sells them to small grocery stores.

One of the stores asked Sonny for a large quantity of oranges. Sonny drafted a contract for the sale of 10 bags of oranges in exchange for fifty dollars. What can the grocery store owner do if he finds out that Sonny is selling stolen oranges?

Question 29 29. Barney is a professional children's party clown. He had a party of 23 five-year-old children booked for Sunday morning. He also was invited to his best buddy's bachelor party the night before the event, where he drank way too many beers and woke with a mean hangover. He called the mother of the birthday child to let her know he did not feel he could perform at his best because he was ill. What type of change in circumstance is Barney trying to use?

Question 30 30. Pepe's Pay Day Loans decided to raise their interest rates from 7% to 86% after Christmas. Is this legal?

Contracts - Discharge of Contracts: Help and Review Chapter Exam Instructions

Choose your answers to the questions and click 'Next' to see the next set of questions. You can skip questions if you would like and come back to them later with the yellow "Go To First Skipped Question" button. When you have completed the practice exam, a green submit button will appear. Click it to see your results. Good luck!

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