Question 1

Justin Bieber contracted to perform a music concert at the local stadium. He was aware of the fact that the stadium would sustain a substantial loss if he failed to perform. Justin, however, was stricken ill with laryngitis preventing him from singing and he failed to perform at the concert. The stadium sued Justin for breach of contract. What is the likely result?

Question 1 options:

	a) The contract was discharged by impossibility of performance or, if not, Justin will have to perform at another date after he recovers.
	b) Justin is liable for damages for breach of contract.
	c) The stadium will not be able to sue Justin for breaching the contract at all since they could have avoided any losses by hiring another performer.
	d) The contract will be discharged by frustration of performance.

Question 2

A contract clause which states that "the seller will be liable for defective goods provided the buyer gives notice within 30 days of delivery that the goods are defective" is an example of a:

Question 2 options:

	a) concurrent condition.
	b) condition precedent.
	c) condition subsequent.
	d) contract of adhesion.
	e) none of the above.

Question 3

If an unforeseeable event occurs which makes it unreasonably difficult or expensive for one party to perform the contract, the contract might be discharged on the grounds of:

Question 3 options:

	a) commerical impossibility.
	b) economic frustration.
	c) operation of law.
	d) impracticability.
	e) res ipsa loquitor.

Question 4

The Consumer Credit Protection Act which empowers a party to rescind a contract within three business days if it results in placing a lien on that party's home is an example of:

Question 4 options:

	a) unilateral discharge (provided by law).
	b) accord and satisfaction.
	c) a merger clause.
	d) discharge by mutual cancellation and releas

Question 5

Robert entered into a contract with Sally to rent her moving van so that he could transport some inventory from his warehouse to his store. During their negotiations, Robert told Sally "the truck would be perfect to move my inventory from my warehouse to my store." Unfortunately, after the contract was formed but before Robert picked up the van, the warehouse was burned down and all the inventory was destroyed. Robert's duty to perform under the contract may be discharged for:

Question 5 options:

	a) impossibility of performance.
	b) impracticability.
	c) operation of law.
	d) frustration of purpose.
	e) none of the above.