W6 M5 - Contracts PASS

Under common law a time provision is considered...

• Not to be essential unless expressly stated as such.

• Essential unless a contrary intention is indicated in the contract.

• Not essential unless there is something in the circumstances that makes it inequitable to treat it as such

• Essential unless it would be inequitable to treat it as such in the circumstances

Select all the correct answers. What is required to be included in a valid notice?

• What the promisor must do to perform the contract.

• A reasonable time in which the contract must be completed.

• A statement of the consequences of not performing in accordance with the notice.

• Time stipulation as to when the notice kicks in.

An expression of unwillingness or inability to perform obligations, refers to what?

• Anticipatory breach

• Termination for breach.

• Termination for Repudiation

• Notice

To terminate for repudiation the party who wishes to terminate must determine what?

• Whether an essential term has been breached.

• Whether the terminating party is unwilling and unable to be bound by the contract.

• Whether the other party has indicated an unwillingness to be bound by the contract.

• Whether the other party has indicated, by words/conduct, an unwillingness/inability to be bound by the contract.

Select the TWO correct answers. A sufficiently serious absence of readiness and willingness will occur where:

• The unwillingness or inability relates to the whole contract; OR

• The unwillingness or inability relates to a time stipulation; OR

• The unwillingness or inability relates to performance of a fundamental obligation.

• The unwillingness or inability relates to performance of a specific term.

Finish the definition: Anticipatory breach occurs where on party repudiates their obligation under the contract _____ actual performance is required.

What is the Doctrine of Election?

• If you elect to terminate you cannot later try to enforce the contract.

• If you elect to affirm you cannot later try to terminate it for the same breach.

• If you elect to terminate, you can later try to enforce the same contract.

• If you elect to affirm a contract, you can later try to terminate it for the same breach.

Where a party has promised to maintain a state of affairs and fails to do so, and breach arises in every moment in which that state is not as promised, this can amount to what?

• Anticipatory breach.

• Continuing breach.

• Continuing repudiation.

• Termination.

A party seeking to terminate for breach must:

• Be ready and willing to perform their obligations;

• Be doing so with full knowledge of the breach;

• Communicate their decision clearly and unequivocally to the other party.

• Not have induced a belief that they would not terminate, such that the other party relied on it to their detriment.

Is equitable estopple available as a relief?

• yes

• no