Ch13 Termination of Contracts Flashcards Preview

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Flashcards in Ch13 Termination of Contracts Deck (66):
1

Contract is discharged when all terms have been fulfilled.

Performance

2

Factors of fulfillment

Performance

3

Time of performance

Factors of fulfillment

4

Tender of performance

Factors of fulfillment

5

Tender of payment

Factors of fulfillment

6

Satisfactory performance

Factors of fulfillment

7

Substantial performance.

Factors of fulfillment

8

Discharge in bankruptcy

Discharge by Operation of Law

9

Running of the statute of limitations

Discharge by Operation of Law

10

Alteration of written contract

Discharge by Operation of Law

11

Parties can agree to not carry out the contract’s terms; it is then discharged.

Voluntary Agreement of the Parties

12

No contract is ever made if the act is impossible to perform.

Impossibility of Performance

13

Destruction of the subject matter

Impossibility of Performance: Common Causes

14

New laws making the contract illegal

Impossibility of Performance: Common Causes

15

Death of physical incapacity of a person to render personal services.

Impossibility of Performance: Common Causes

16

Act of the other party

Impossibility of Performance: Common Causes

17

If innocent party accepts breach the contract is discharged.

Acceptance of Breach of the Contract by One of the Parties

18

Nominal damages

Sue for Damages

19

Compensatory damages

Sue for Damages

20

Punitive damages

Sue for Damages

21

Liquidated damages

Sue for Damages

22

Aggrieved party may do so if contract is breached.

Rescind the Contract

23

set aside or cancel

Rescind

24

Available in limited cases

Sue for Specific Performance

25

Contracts for the performance of personal services will not be specifically ordered.

Sue for Specific Performance

26

Failure to perform with ability and care normally exercised by people in a profession.

Malpractice

27

Accountant is liable to client who suffers.

Malpractice

28

This is the sum fixed by the contract for breach where actual damages are difficult to measure.

Liquidated

29

These type of damages are what the party gets due to a breach of contract which is the loss plus additional damages to punish the defendant.

Punitive

30

This is an offer to perform an obligation in satisfaction of the terms of a contract.

Tender of Performance

31

This is a small amount awarded when there is a technical breach of contract but no injury.

Nominal

32

In the cases of doctors, lawyers, or accountants, this is the failure to perform with ability and care normally exercised by people in a profession.

Malpractice

33

These three words are regarding a person's right to sue must be exercised within a fixed amount of time.

Statute of Limitations

34

When a contract is breached, the aggrieved party may elect to do this.

Rescind

35

If the act called for in an alleged contract is ___________ to perform at the time the contract is made, no contract ever comes into existence.

Impossible

36

Money or property I might receive because of the breach of contract.

Damages

37

There are these many common methods by which contracts may be terminated.

Five

38

When of the parties fails or refuses to perform the obligations assumed under the contract then this happens.

Breach

39

These type of damages are what a party gets that equals the loss but no more.

Compensatory

40

If the tender is refused the debt is not __________.

Discharged

41

If one of the parties does this to a contract without the consent of the other parties then the innocent party is discharged.

Alters

42

A tender in the form of a check is not a proper tender. With a few minor exceptions, this is any form of US money

Legal

43

One party announces intention not to perform prior to time to perform

Anticipatory Breach

44

Failure or refusal to perform contractual obligations

Breach

45

Amount equal to the loss sustained

Compensatory Damages

46

Sum of money awarded to injured party

Damages

47

Contract provision excusing performance when extraordinary event occurs

Force Majeure Clause

48

Any form of lawful money

Legal Tender

49

Amount paid to one party to punish the other

Punitive Damages

50

Carrying out the terms of contract

Specific Performance

51

Time within which right to sue must be exercised or lost

Statute of Limitations

52

Offer and ability to pay money owed

Tender of Payment

53

1. When all terms of a contract have been fulfilled, the contract is discharged by novation.

False

54

2. Legal tender usually refers to any form of U.S. money.

True

55

3. If the tender used as payment is refused, the debt is discharged.

False

56

4. Satisfactory performance and substantial performance are the same thing.

False

57

5. Bankruptcy can discharge contracts.

True

58

6. A debt that has been outlawed by the statute of limitations can never be revived.

False

59

7. In some cases, a person other than the injured party of a contract may sue a professional person for malpractice.

True

60

8. A substantial, intentional alteration of a written contract without the consent of the other party discharges the contract.

True

61

9. An offer to perform an obligation in satisfaction of the terms of a contract is called:

Tender of Performance

62

10. If a contract involves specific subject matter, the destruction of this matter without the fault of the parties:

discharges the contract because of impossibility of performance

63

11. Causes of contracts being discharged because of impossibility of performance include:

a. new laws making the contract illegal.
b. physical incapacity of persons to render personal services.
c. wrongful acts of other parties.

D. ALL OF THESE

64

12. If a plaintiff in a suit for breach of contract cannot prove any substantial loss but just wants to prove a point, the most likely type of damages she will get is called ________ damages.

Nominal

65

13. Damages paid to go beyond merely compensating to punishing the defendant are called ________.

Punitive Damages

66

14. In cases when neither a suit for damages nor rescission will constitute adequate remedy, what may be applied?

Suit for specific performance