BUL chap 20

Question 1

conditional contracts ***

Answer 1

contracts containinf conditions affecting the preformance obligations of the parties

Question 2

condition precedent***

Answer 2

a particular event that must occur in order for a party’s duty to preform does not arise

Question 3

condition subsequent ***

Answer 3

a future event that terminates the obligations of the parties when it occurs

Question 4

concurrent conditions ***

Answer 4

occur when each party’s performance is conditioned on the performance of the other

Question 5

express conditions***

Answer 5

explicity stated in the contract and are usually preceded by words such as conditioned on, if, provided that, or when.

Question 6

implied conditions ***

Answer 6

those that are not explicitly stated but are inferred from the nature and language of the contract

Question 7

tender

Answer 7

offer of performance

Question 8

complete preformance ***

Answer 8

occurs when all aspects of the parties’ duties under the contract are carried out perfectly

Question 9

substantial preformance ***

Answer 9

occurs when 1)completion of nearly all terms of the agreement 2) an honest effort to complete all the terms and 3)no willful departure from the terms of the agreement

Question 10

material breach ***

Answer 10

discharges the nonbreaching party from his obligations under the contract

Question 11

novation ***

Answer 11

when the parties to the agreement want to replace one of the parties with a third party

Question 12

objective impossibility

Answer 12

meaning it is in fact not possible to lawfully carry out one’s contractual obligations

Question 13

subjective impossibility

Answer 13

meaning it would be very difficult to carry out the contract

Question 14

monetary damages

Answer 14

reffered to as legal damages or legal remedies and they include compensatory, punitive, nominal, and liquidated damages

Question 15

compensatory damages

Answer 15

damages designed to put the plaintiff in the position he would have been in had the contract been fully preformed (most frequently awarded damges)

Question 16

consequential or special damages

Answer 16

(difficult to prove ) foreseeable damages that result from special facts and circumstances arising outside the contract itself

Question 17

punitive damages

Answer 17

designed to punish the defendant and deter him and others from egaging in similar behavior in the future

Question 18

nominal damages

Answer 18

a case where no actual damages resulted from the breach of contract

Question 19

liquidated damages

Answer 19

specified in the liquidated- or stipulated- damage claused in the contract

Question 20

restitution

Answer 20

return of the property given up under the contract

Question 21

rescission

Answer 21

termination of the contract

Question 22

specific preformance

Answer 22

sometimes called specific enforement and is an order requiring that the breaching pary fulfill the terms of the agreement

Question 23

injenction

Answer 23

an order wither forcing a person to do something or prohibiting a person from doing something

Question 24

discharge by reason of impracticability

Answer 24

1)that an event occurred whose nonoccurrence was a basic assumption of the contract 2)that there is commercial impracticability of continued performance 3)that the party claiming discharge did not expressly or impliedly agree to performance in spite of impracticability that would otherwise justify nonperformance

Question 25

factors to suit

Answer 25

1)the likelihood of success 2) the desire or need to maintain an ongoing relationship with the potential defendant 3) the possibility of getting a better or faster resolution through some form of alternative dispute resolution 4) the cost of litigation or some form of ADR as compared to the value of the likely remedy

Question 26

discharge ***

Answer 26

when a party’s obligations under a contract are terminated the party is said to be discharged

Question 27

anticipatory Repudiation ***

Answer 27

occurs when market conditions change and one party realizes it will not be profitable to fulfill terms of the contract