Mixed Review

Question 1

A condition precedent delays performance until:

Answer 1

a specified event occurs and requires the P to prove that the event occurred to prevail.

Question 2

A condition subsequent excuses performance once:

Answer 2

A specified event occurs and requires the D to prove that the vent occurred to void liability…

Question 3

When performance under a contract is contingent upon the occurrence of a condition precedent:

Answer 3

Performance is not due until the condition occurs or it nonoccurrence is excused.

Question 4

Payment in full check

Answer 4

If creditor deposits check the debtors duty to pay will be discharged.

Question 5

Promissory estoppel applies when: (4)

Answer 5

1. the promisor reasonably expected to induce reliance on the promise
2. the enforcing party reasonably relied on that promise,
3. the enforcing party suffered substantial detriment as a result,

And

4. injustice can only be avoided by enforcing the promise.

Example: the man tells his son that the farm is his if he works it, and then leaves the farm to another son. The son who worked the farm expected to receive the farm and relied on the promise.

Question 6

If a lender breaches a loan agreement, the borrower can recover what?

Answer 6

Expectation damages equal to the different between the interest cost of the original loan (contract price) and the interest cost of a substitute loan (market price).