The obligations under a contract can be discharged when both parties satisfactorily perform the terms of the contract. Which of the following will not constitute proper performance?

		When a condition is breached in some minor, inconsequential way
		Substantial performance
		When failure to perform involves a condition
		Exact performance
		When failure to perform involves a warranty

Which of the following is not considered adequate tender of performance?

		The debtor attempts to pay in legal tender, but the creditor refuses.
		The contract is partially performed but not at the specified time or place.
		An attempt is made to perform the specified service.
		An attempt is made to perform the specified service at the specified time and place.
		The debtor pays in legal tender.

Accord and satisfaction occurs when

		the parties agree to end the contract based on some other satisfaction.
		one party substitutes a third party into his place in the contract.
		one party assigns her rights under the contract to another.
		one party states that neither has to fulfill the obligations.
		the parties seek the courts help in terminating their relationship.

Which of the following is not a remedy that an injured party may have available, depending on the type of breach and the subject matter of the contract?

		Injunction
		Damages
		Rescission
		Mitigation
		Quantum meruit

Which of the following remedies are often provided for in the body of a contract?

		Specific performance and injunctions
		Liquidated damages and deposit forefeiture
		Deposits and specific performance
		Accounting and quantum meruit
		Rescission and down payments

Which of the following statements is false about performance?

		A salesman can be required to deliver the car before the buyer is obligated to pay.
		A customer can be required to pay at the time he takes his goods.
		A person never has to pay for an ordered product if it does not exactly match the description.
		It is often important to determine if performance has occurred to determine if the other party is obligated.
		An employer is not obligated to pay an hourly employee if she does not work her shift.

What is an exemption clause?

		A valid contract clause that states the liability of a party is significantly limited or eliminated should that party breach the contract
		A valid contract clause that details what actions constitute a fundamental breach
		A valid contract clause that limits the property to be sold
		An invalid contract clause that exempts the parties from criminal prosecution for actions related to the contract
		An invalid contract clause that states the contract is enforceable if one party breaches a condition

Edna agrees to mow Dannys lawn every week for five dollars per week. After three weeks, Edna wants to stop mowing and Danny has found another lawn mower for less money. They agree that Edna will no longer mow the lawn and Danny will not owe her any further payment. Can the parties end the contract?

		No. There is no consideration on Dannys part to terminate the contract so the agreement is invalid.
		Yes. Contracts can be terminated by agreement as long as there is consensus and fresh consideration.
		Yes. Contracts can always be terminated by agreement of the parties.
		Maybe. The contract can be terminated if a court decides the termination is fair to both parties.
		No. Contracts cannot be terminated once performance has begun.

A contract states that if Party A sells his home and leaves the jurisdiction before completing the contract then neither party is required to complete performance. This is a(n)

		condition subsequent.
		condition precedent.
		force majeure clause.
		anticipatory breach.
		exemption clause.

In which of the following situations is the contract not discharged by frustration?

		A contractor is hired to roof a home. The home burns down before she can start.
		An employee is injured and cannot perform the job he was hired to do.
		A painter is hired to paint a mural on a school. A tornado completely destroys the school.
		Two parties contract for the sale of the goods inside a ship. Before they sign, the contract the ship sank.
		A developer buys a property from the town for the purpose of making affordable tiny apartments in an area zoned for tiny dwellings. The zoning board declares no tiny apartments can be built.

The purpose of damages in a breach of contract action is

		to place the victim in the place she was before the contract occurred.
		to only punish the breaching party.
		to place the victim, through the payment of money, in the same position he would have been if the contract had been completed.
		to pay for any costs the victim expended for the contract.
		to make the victim whole.

Which of the following statements about mitigation is false?

		A court can reduce the damage award if the victim made no attempt to lessen the harm caused by the breach.
		The victim is not required to risk her life to limit the damage cause by the breach.
		The victim of unlawful employment termination must try to find another job.
		The victim cannot allow his harm to become greater in hopes of a large damage award.
		The victim is required to spend as much as necessary to mitigate the damages.

Bill hires Ted to help develop a secret recipe. The contract has a non-compete clause prohibiting Ted from working for a competitor for three years after leaving. After six months Ted quits and is hired at a direct competitor. Bill sues for breach of contract and requests the court grant an injunction preventing Ted from working anywhere for the next three years. Will the court grant the injunction, assuming Bill proves his case?

		No. The court will refuse because damages are more appropriate.
		Yes. The court will grant the injunction because it prevents injury to Bill.
		No. The court will refuse because the injunction would prevent Ted from being able to have any job.
		Yes. The court will grant the injunction to punish Ted for his wrongdoing.
		Maybe. The court will grant the injunction if Teds actions are shown to be malicious.

Which of the following is not a reason for the court to refuse an equitable remedy?

		The victim also breached the contract.
		The breaching party did not intend harm.
		The victim waited two years to request a remedy without a valid reason.
		The party requesting the remedy also breached the contract.
		The remedy requested would bankrupt an innocent third party.