BC Law Ch3 Contract Terms

The ___ of a contract are specifically discussed and agreed by the contracting parties.

• express terms

• expressive terms

• terms implied by fact

• terms implied by law

A term may be implied by fact if it is necessary to give ___ to the contract.

• business essence

• consideration

• business efficacy

• offer & acceptance

Which of the following terms will be implied in a visit to the doctor?

• The medication will be free of charge.

• The doctor is qualified and duly registered with the Singapore Medical Council.

• The medical treatment will surely heal you of your sickness.

• The doctor will follow up with house visits.

The Sale of Goods Act may imply a condition that goods sold in the course of business are of satisfactory quality.

• True

• False

Under the SOGA, the implied condition of satisfactory quality does NOT apply when ____.

• Buyer examined the good after purchase & ought to have noticed the defect.

• Buyer examined the good before purchase & ought to have noticed the defect.

• Buyer was informed of the defect after purchase.

• Buyer was informed of the defect before purchase.

Goods are of satisfactory quality if they meet the standard that a reasonable person would consider satisfactory.

• True

• False

Select all the statements that apply to a "condition" under contract law.

• Clearly vital to the main purpose of the contract.

• Injured party likely loses the benefit of the contract if it is breached.

• A breach of it automatically terminates the contract.

• A breach of it allows the injured party to elect to terminate the contract.

Select all that apply to a "warranty" term.

• Its breach will still allow some benefit to the injured party.

• Clearly less vital to the main purpose of the contract.

• Its breach will entitle the injured party to terminate the contract.

• Its breach will not entitle the injured party to terminate the contract.

An innominate term is a term that cannot be classified as a condition or warranty.

• True

• False

A contract may be terminated if the breach of its innominate term causes the injured party to ___.

• be substantially awarded his contractual benefit

• affirm the contract and claim damages

• imply a term that is necessary for business efficacy

• be substantially deprived of his contractual benefit