CONTRACTS_MCQS_61-70 - GOULDS MCQs in the MORNING Multiple Choice Program CONTRACT LAW QUESTIONS 61-70 2012 GOULDS ALL RIGHTS RESERVED 61 Betty told

CONTRACTS_MCQS_61-70 - GOULDS MCQs in the MORNING Multiple...

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GOULD’S “MCQ’s in the MORNING”Multiple Choice Program:CONTRACT LAW QUESTIONS, 61-70© 2012 GOULD’S, ALL RIGHTS RESERVED.
© 2012 GOULD’S, ALL RIGHTS RESERVED.61. Betty told Marty that her mother was ill, and that Betty needed to take care of her mother. Betty wanted to fulfill the obligation that she had with Marty to continue building his deck. However, the circumstances dictated that Betty would spend full-time taking care of her mother from that point forward, and she passed this information onto Marty.Is Marty sues Betty for breach of contract, is he likely to have a valid claim?A. No, because Betty’s performance was discharged under B. Yes, because Marty did not hinder Betty’s performance.C. No, because Marty did not seek adequate assurances of D. Yes, because Betty anticipatorily repudiated.impossibility of performance.performance.
© 2012 GOULD’S, ALL RIGHTS RESERVED.61. CORRECT ANSWER: D.Anticipatory repudiation occurs where a party indicates thatthey are unable or unwilling to perform. When this occurs, theother party has a right to suspend their performance and sue forbreach of contract. Prospective inability to perform / voluntarydisablement, is a lesser form of anticipatory repudiation, wherea party indicates in some fashion that they would like toperform, but are having trouble actually performing. Betty hada noble reason for not fulfilling the requirements of her contractwith Marty.However, no matter how noble the reason, Betty,clearly expressed to Marty that she would not fulfill therequirements of her performance under the contract. Inasmuchas she still had performance due, she will be seen to haveanticipatorily repudiated the contract, giving Marty the right tocancel the contract and sue for breach of contract.
© 2012 GOULD’S, ALL RIGHTS RESERVED.62. Betty told Marty that her mother was ill, and that Betty needed to take care of her mother. Betty wanted to fulfill the obligation that she had with Marty to continue building his deck, which was due to be completed in a month, but the circumstances dictated that Betty needed to spend a day thinking about her options.In this instance, if Marty sues Betty for breach of contract, is he likely to have a valid claim?
© 2012 GOULD’S, ALL RIGHTS RESERVED.62. CORRECT ANSWER: A.Where reasonable grounds arise for insecurity withrespecttotheperformanceoftheotherparty,theinsecure party may put into writing a demand foradequate assurances of performance. If there is a failureto give assurances in a timely fashion, which for theUCC is not to exceed thirty days, this will be consideredan outright repudiation, which will allow the insecureparty to cancel the contract and sue for breach ofcontract. In this situation, Betty expressed anxiety about

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