CIMT 2. Mr. Wicks, a plumber, had a contract to repair a slow leak in a toilet in Dr. Bone's melieLLE clinic. Because it had to be done when no patients were there, Mr. Wicks agreed to come on a Saturday. However, when he got there, he found a notice on the door saying "Got a chance for a free trip to Hawaii. Come next Saturday at the same time. Thanks. Dr. Bone." Mr. Wicks did not turn up the next Saturday and, when Dr. Bone called to find out why, Mr. Wicks said he had promised to take his wife shopping that day, and he doubted if he would be able to find the time in the future. a. Dr. Bone breached the contract on the first Saturday b. Mr. Wicks breached the contract on the second Saturday c Neither man has breached the contract, it is simply suspended. d. The contract was not breached since it was frustrated on the first Saturday because Dr. Bone. could not be there. a and b. c. 3. Where the actions of a person convey the impression to third parties that he or she has given authority to a particular person to act as an agent a contract negotiated by such an agent may not be adopted by the principal at a later a. ime third parties may assume that the agent has authority to bind the principal until notice to the contrary has been given to the third parties. b. c. the agent may be liable to the principal for acting under implied but not actual authority d. All of the above. 4. The greatest control over the acts of a corporation may be exercised by a, the majority owner of preferred shares 6 the board of directors. c. the majority owner of common shares. d. the bond holders. e. all of these. 5. Mary verbally agrees to purchase Martha's cottage for $75,000 and gives her a deposit cheque for $7,500. Martha later sends her a letter thanking her for the cheque and confirming all the details a. Martha can sue Mary for specific performance of the contract since there is a written b. Martha cannot sue Mary for specific performance but is entitled to keep the deposit of the contract. Mary later refuses to go through with the deal. memorandum of it. Martha can sue Mary for specific performance because the deposit was part performance. None of these is true. c. The contract between Bayson's Department Store and Clemson's Manufacturing contains a clause that allows either party to end the contract on 60 days' notice and the payment of liquidated damages, which are set at a reasonable amount. This clause is 6. a. a force majeure clause. b. an option to terminate. c. a condition subsequent clause. d. a frustration of contract clause e. an example of laches. CIMT 2. Mr. Wicks, a plumber, had a contract to repair a slow leak in a toilet in Dr. Bone's melieLLE clinic. Because it had to be done when no patients were there, Mr. Wicks agreed to come on a Saturday. However, when he got there, he found a notice on the door saying "Got a chance for a free trip to Hawaii. Come next Saturday at the same time. Thanks. Dr. Bone." Mr. Wicks did not turn up the next Saturday and, when Dr. Bone called to find out why, Mr. Wicks said he had promised to take his wife shopping that day, and he doubted if he would be able to find the time in the future. a. Dr. Bone breached the contract on the first Saturday b. Mr. Wicks breached the contract on the second Saturday c Neither man has breached the contract, it is simply suspended. d. The contract was not breached since it was frustrated on the first Saturday because Dr. Bone. could not be there. a and b. c. 3. Where the actions of a person convey the impression to third parties that he or she has given authority to a particular person to act as an agent a contract negotiated by such an agent may not be adopted by the principal at a later a. ime third parties may assume that the agent has authority to bind the principal until notice to the contrary has been given to the third parties. b. c. the agent may be liable to the principal for acting under implied but not actual authority d. All of the above. 4. The greatest control over the acts of a corporation may be exercised by a, the majority owner of preferred shares 6 the board of directors. c. the majority owner of common shares. d. the bond holders. e. all of these. 5. Mary verbally agrees to purchase Martha's cottage for $75,000 and gives her a deposit cheque for $7,500. Martha later sends her a letter thanking her for the cheque and confirming all the details a. Martha can sue Mary for specific performance of the contract since there is a written b. Martha cannot sue Mary for specific performance but is entitled to keep the deposit of the contract. Mary later refuses to go through with the deal. memorandum of it. Martha can sue Mary for specific performance because the deposit was part performance. None of these is true. c. The contract between Bayson's Department Store and Clemson's Manufacturing contains a clause that allows either party to end the contract on 60 days' notice and the payment of liquidated damages, which are set at a reasonable amount. This clause is 6. a. a force majeure clause. b. an option to terminate. c. a condition subsequent clause. d. a frustration of contract clause e. an example of laches