Question

TIE One of the requirements for Frustration of Purpose is that both parties were aware at the time that the contract was formed that one of the parties had a particular purpose for entering into the contract. 39. T/F Atender of performance occurs when the tendering party is ready, willing and able to perform and makes an unconditional offer to perform the contract duties 40. T/F Anovation occurs when a new party replaces one of the original contract parties as the result of an agreement between all 3 parties. 41. T/F A breach of contract of a UCC contract occurs when one of the parties violates the Perfect Tender Rule. 42. T/F The following is an example of a condition precedent: A enters into a written contract to sell goods to B. The contract provides, under the heading "Conditions of Sale," that "the obligations of the parties are conditional on B obtaining a letter of credit from X Bank by December 21". 43. T/F Unforeseeability is a necessary requirement for both Impossibility and Frustration of Purpose. 44. T/F As soon as one party to a contract makes an unequivocal statement that amounts to an anticipatory repudiation, the other party may initiate a lawsuit for breach of the contract even though the repudiating party's performance is not due until sometime in the future. 45. T/F Every material breach of a common law contract has the same two consequences the non-breaching party is entitled to damages or other remedies and the breaching party has no right to receive performance from the non-breaching party.

Answer 1

1.FALSE

REASON:- CONTRACTS ENTERED INTO BETWEEN PARTIES IMPOSE CONTRACTUAL OBLIGATIONS ON BOTH THE PARTIES FOR THE PERFORMANCE OF SUCH CONTRACT .HOWEVER ,MANY TIMES UNFORESEEN SUPERVENING EVENTS OCCUR WHICH MAKE THE PERFORMANCE OF THE CONTRACTS IMPOSSIBLE DUE TO NO FAULT OF EITHER PARTY.IN SUCH CASES CONTRACT IS SAID TO BE FRUSTRATED

2. TRUE

REASON: TENDERING PERFORMANCE MEANS TO OFFER OR ATTEMPT TO PERFORM THE AGREEMENT .THAT IS A PARTY CANNOT AVOID OBLIGATION UNDER THE CONTRACT.

3.TRUE

REASON:-ACCORDING TO CONTRACT LAW-

* REPLACING AN OBLIGATION TO PERFORM WITH ANOTHER OBLIGATION, OR

* ADDING AN OBLIGATION TO PERFORM,OR

*REPLACING A PARTY TO AN AGREEMENT WITH NEW PARTY.

4.TRUE.

REASON:-The Perfect Tender rule is a term that refers to the legal right a buyer to insist that the goods purchased conform precisely to the product description in quality, quantity, and manner of delivery. If the goods fail to conform to the description, the buyer may legally reject the goods offered. The Perfect Tender Rule applies even when there is a signed contract for the purchase of the goods, requiring that the seller must supply goods that conform absolutely with the buyer's stated demand.

5.TRUE

REASON:-A condition precedent is a condition or an event that must happen before a contract is in effect. ..

6. FALSE

REASON:-Performance is the completion of obligations undertaken in a contract. ... Impossibility involves cases in which a party is unable to perform due to a supervening event occurring after execution of the contract. In contrast, frustration relates where performance would be made impractical due to an unforeseen event.

7.TRUE

REASON:-AS MAKING AN UNEQUIVOCAL STATEMENT WAS PART OF THE CONTRACT AND ALSO REASON OF THE

ANTICIPATORY REPUDIATION,SO OTHER PARTY MAY INITIATE A LAW SUIT.

8.TRUE

REASON:-A breach of contract is a legal phrase that describes a situation when the terms of a contract are not followed completely

Because a contract is a legally binding document, there may be legal consequences involved in a situation where a contract has been breached. The person who breached the contract may be liable for the financial damages caused by their failure to follow the terms of the contract.