Question

Question 20

A defrauded buyer may avoid the contract and recover damages.

True

False

Question 22

A contract made by an incompetent person after a guardian has been appointed is voidable.

True

False

Question 24

If a buyer materially breaches the contract, the seller may not cancel the contract until it notifies the buyer.

True

False

Question 25

Ordinarily, a promise to perform an existing legal obligation is:

a. binding if the promisor promises to perform with extra care.

b. not consideration.

c. binding if the promisee would experience substantial loss due to breach of the promise.

d. binding if the promisor promises to perform to suit the personal satisfaction of the promisee,

Question 26

A change of law discharges a contract if the new law:

a. requires the use of antipollution devices.

b. requires a license and none was required before.

c. requires the use of fireproof materials.

d. prohibits the act called for by the contract.

Answer 1

20) True

Yes, the defrauded buyer can avoid the contract and recover damages.

22) True

When a court declares the person incompetent and a guardian is oppointed or if a person doesn't know that they are entered into the contract and lacks the capacity to understand it.

24) False

To the seller consequential damages are not available, it is available to the buyer.

25) Ordinarily, a promise to perform an existing legal obligation is

b. Not consideration.

26) A change of law discharges a contract if the new law

d. Prohibits the act called for by the contract.