Q. In the case of C & J Fertilizer, Inc. v. Allied Mutual Insurance Co., what was the court's ruling regarding the insurance policy?
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A.
The policy was void
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B.
The policy was enforceable
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C.
The policy was ambiguous
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D.
The policy was unconscionable
Solution
The court ruled that the insurance policy was enforceable despite the breach of contract.
Correct Answer:
B
— The policy was enforceable
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Q. In the case of Hadley v. Baxendale, what type of damages were the plaintiffs seeking?
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A.
Consequential damages
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B.
Punitive damages
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C.
Nominal damages
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D.
Compensatory damages
Solution
The plaintiffs were seeking consequential damages for lost profits due to the delay in delivery.
Correct Answer:
A
— Consequential damages
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Q. In the case of Hamer v. Sidway, what was the consideration that supported the contract?
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A.
A promise to pay money
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B.
A promise to refrain from drinking
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C.
A promise to perform a service
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D.
A promise to sell property
Solution
The consideration was the nephew's promise to refrain from drinking until he turned 21.
Correct Answer:
B
— A promise to refrain from drinking
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Q. In the case of Jacob & Youngs v. Kent, what was the primary issue regarding breach of contract?
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A.
Quality of materials used
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B.
Timeliness of performance
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C.
Payment terms
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D.
Capacity to contract
Solution
The primary issue was the quality of materials used, as the builder used a different brand of pipe than specified.
Correct Answer:
A
— Quality of materials used
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Q. In the case of Kearney v. Salomon, what was the primary issue regarding the breach?
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A.
Failure to perform on time
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B.
Failure to perform to specifications
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C.
Failure to provide notice of breach
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D.
Failure to pay damages
Solution
The primary issue was the failure to perform to specifications as outlined in the contract.
Correct Answer:
B
— Failure to perform to specifications
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Q. In the case of Raffles v. Wichelhaus, what was the main reason for the court's decision?
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A.
Lack of consideration
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B.
Mutual mistake
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C.
Unconscionability
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D.
Impossibility of performance
Solution
The court found that there was a mutual mistake regarding the identity of the ship, leading to no binding contract.
Correct Answer:
B
— Mutual mistake
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Q. In the case of Sullivan v. O'Connor, what type of damages were the plaintiffs awarded?
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A.
Punitive damages
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B.
Consequential damages
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C.
Compensatory damages
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D.
Nominal damages
Solution
The plaintiffs were awarded compensatory damages for the pain and suffering caused by the botched surgery.
Correct Answer:
C
— Compensatory damages
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Q. What remedy was awarded in the case of Peevyhouse v. Garland Coal & Mining Co.?
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A.
Specific performance
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B.
Expectation damages
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C.
Reliance damages
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D.
Restitution
Solution
Expectation damages were awarded, reflecting the difference between the value of the property as it was and as it should have been.
Correct Answer:
B
— Expectation damages
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Q. What type of damages were sought in the case of Baird v. Franklin?
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A.
Consequential damages
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B.
Liquidated damages
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C.
Expectation damages
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D.
Restitution
Solution
Restitution damages were sought to recover the benefits conferred due to the breach.
Correct Answer:
D
— Restitution
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Q. What was the outcome in the case of McDonald v. Mobil Oil Corp. regarding breach of contract?
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A.
Specific performance was granted
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B.
The contract was deemed void
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C.
Damages were awarded for lost profits
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D.
No damages were awarded
Solution
Damages were awarded for lost profits due to the breach of contract by Mobil Oil.
Correct Answer:
C
— Damages were awarded for lost profits
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