NZ Law and Contract Law

Question 1

The NZ legal system: (1 mark)

a) Is based on the Australian legal system
b) Is based on the English Westminster model
c) Is based on court decisions made only in NZ
d) Is based on statute law

Answer 1

b) Is based on the English Westminster model

Question 2

The ‘Law of Torts’ (1 mark)

a) Is derived from New Zealand Statutes
b) Is derived from English Case Law
c) Is derived from English and New Zealand Case Law
d) Is derived from English and New Zealand Statutes

Answer 2

c) Is derived from English and New Zealand Case Law

Question 3

For a contract to exist the following minimum conditions must be met: (1 mark)

a) An offer, communicated acceptance and consideration exist
b) An offer and acceptance exist
c) An offer, communicated acceptance and valuable consideration all
exist, plus the parties intended to enter into a contract, are legally
capable and have given genuine consent to this legal contract
d) An offer, communicated acceptance and valuable consideration all
exist, plus the parties intended to enter into a contract, are legally
capable and have given genuine consent to this legal contract and have
written down the terms and conditions

Answer 3

c) An offer, communicated acceptance and valuable consideration all
exist, plus the parties intended to enter into a contract, are legally

Question 4

A contract can exist where: (1 mark)

a) The terms are agreed only in written format
b) The terms are agreed verbally and do not relate to social obligations
c) The terms are agreed either verbally or written down
d) The terms are agreed only in written format and consideration is
included

Answer 4

c) The terms are agreed either verbally or written down

Question 5

Which of the following statements is correct within the NZ Legal Court
system?

(1 mark)
a) The verdict from one court can be challenged in any higher court
b) The verdict from a particular court can only be challenged in a higher
court according to a pre-determined Court structure
c) The verdict from a particular court can only be challenged in a lower
Court
d) Appeals can be made through any branch of the Court system

Answer 5

b) The verdict from a particular court can only be challenged in a higher

Question 6

The purpose of the Construction Contracts Act 2002 is: (1 mark)

a) To ensure the Architect receives payment from the Principal promptly
b) To ensure the Contractor receives correct payment amounts from the
Principal
c) To ensure Sub-Contractors receive correct payment amounts from the
Principal
d) To facilitate regular and timely payments between parties to a
construction contract

Answer 6

d) To facilitate regular and timely payments between parties to a
construction contract

Question 7

Which of the following losses is the most easily recovered in a Court
action for the loss suffered in a Tort of Negligence action?
(1 mark)

a) Direct physical loss to property and the resulting consequential loss
b) Direct physical loss to property, the resulting consequential loss and pure
economic loss
c) Direct physical loss to property, the resulting consequential loss, pure
economic loss and mental distress suffered as a result
d) Direct physical loss to property plus pure economic loss

Answer 7

a) Direct physical loss to property and the resulting consequential loss

Question 8

For the Tort of Trespass to land to occur, the following conditions must
exist:

(1 mark)
a) the Architect must have entered onto the land of another without consent,
and damage has occurred
b) the Architect must have entered onto the land of another without consent,
and damage does not need to have occurred
c) the Architect enters onto the land of another where consent to do so has
been given but has now expired, and damage to the land has occurred
d) the Architect must have introduced items onto the land of another without
consent, and damage has occurred

Answer 8

b) the Architect must have entered onto the land of another without consent,
and damage does not need to have occurred