Breach & Remedies

Question 1

When can a party breach a contract

Answer 1

duty to perform exist

Question 2

Material Breach

Answer 2

non breaching party has not received substantial benefit of bargain

can withhold promised performance and pursue remedies

Question 3

Minor Breach

Answer 3

non breaching party hasn’t received substantial benefit

can pursue damages for non martial breachh but still must perform

Question 4

Breach under the UCC

Answer 4

seller must strictly perform all obligations

Material breach applies to installment contracts

Question 5

Anticipatory Rep Common Law

Answer 5

party retreats before performance is due

must be clear and unequivocal through words or actions

Question 6

Response to Repudiation under common Law

Answer 6

treat as breach and immediately pursue damages

ignore, demand performance & wait

Question 7

Retraction of Repudiation Common Law

Answer 7

can retract if no action has commenced or the person has not detrimentally relied on repudiation

Question 8

when does anticipatory repudiation not apply?

Answer 8

unilateral contracts

Question 9

Anticipatory repudiation under UCC

Answer 9

if insecure about performance can request adq. assurance.

If no response treat at repudiation (30 days)

Question 10

Remedy Types

Answer 10

expectation
consequential
incidental
liquidated
punitive
nominal
attorney fees

Question 11

Mitigating Damages

Answer 11

avoid of mitigate to extent possible

standard of reaonsbaly conduct to prevent loss

can reduce damages even if failure, by mitigation

Question 12

Expectation

Answer 12

calculated with reaonsable certainty

loss in vlaue + other loss - cost avoided - loss avoided

Question 13

Can consequential damages for breach of warranty be limited or excluded?

Answer 13

yes as long as it is no unconscionable

Question 14

When may a party duties be discharged?

Answer 14

occurence of condition subsequent
agreement
frustration of purpose
impossibility

Question 15

What is condition subseq.

Answer 15

condition that cuts off a duty

EX: I will paint the hosue until it starts to rain

Question 16

What is agreement that discharges duties?

Answer 16

novatio, modification, release, accord and satisfaction, recission

Question 17

What is frustration of purpose

Answer 17

primary purpose of contract known by both parties at the time of contracting is substantially frustrated by unforeseeable event

Question 18

What is impossibility

Answer 18

duty discharged if event renders performance impossible and it occurs after contract was made

no reasonable foreseeable and basic assumption of parties, nieither party is at fault and neither bears the risk

Question 19

Express Warranties

Answer 19

affirmations about fact of goods can be disclaimed

Question 20

What is not express warranty

Answer 20

opinion/puffery