Business Law - Chapter 16 Quiz

Complete performance is also known as​ _____ performance.

• conditional
• qualified
• virtual
• strict
• substantial

Jacqueline, who owns a sporting goods​ store, contracts to purchase elite​ "Elle" running shoes from a manufacturer for​ $100,000. At the time of​ performance, Jacqueline tenders the​ $100,000. The manufacturer tenders the elite​ "Elle" running shoes to Jacqueline when required to do​ so, and Jacqueline accepts the running shoes. There is​ a(n) _____ performance of the contract.

• inferior
• substantial
• complete
• qualified
• anticipatory

When there has been a breach of​ contract, what are the most common types of monetary damages that could be​ awarded?

• ​compensatory, consequential,​ liquidated, and nominal damages
• ​compensatory, consequential,​ liquidated, and normative damages
• strict and inferior
• ​compensatory, inconsequential,​ liquidated, and nominal damages
• substantial and minor

Monetary damages are available whether the breach was​ _____.

• minor or material
• monetary or dollar
• compensatory or consequential
• nominal or minor
• liquidated or material

​_____ damages place the​ non-breaching party in the same position as if the contract had been fully performed by restoring the​ "benefit of the​ bargain."

• Punitive
• Compensatory
• Exemplary
• Nominal
• Liquidated

Stan Corp contracts to buy a piece of equipment from Greenco for​ $80,000. Greenco does not deliver the equipment to Stan Corp when it is required to do so. Stan Corp purchases the equipment from another vendor but has to pay​ $100,000 because the current market price for the equipment has risen. Stan Corp can recover​ _____ from Greenco.

• nominal damages
• nothing
• ​$80,000
• ​$100,000
• ​$20,000

A​ non-breaching party can sometimes recover​ ________ damages, or​ ________ damages, from the breaching party. Consequential damages are​ ________ damages that arise from circumstances outside a contract.

• ​nominal; special; foreseeable
• ​liquidated; nominal; compensatory
• ​liquidated; consequential; nominal
• ​compensatory; special; foreseeable
• ​consequential; special; foreseeable

Mary enters into an employment contract with Microhard Corporation. It is a​ three-year contract, and Mary is to be paid​ $100,000 per year. After Mary works for one​ year, Microhard Corporation fires Mary. The next​ day, Mary finds a better position at Microsoft​ Corporation, in the same​ city, paying​ $125,000 per year on a​ two-year contract. Mary has suffered no monetary damages but could bring a civil lawsuit against Microhard Corporation because of its breach and recover​ _____ damages​ ($1).

• nominal
• exemplary
• compensatory
• consequential
• punitive

Nominal damages are usually awarded in a small​ amount, such as​ ______. Cases involving nominal damages are usually brought​ _______.

• ​$1,; in connection with criminal charges
• ​$1,000,000; principle
• ​$10; within 1 year
• ​$10; with punitive damages
• ​$1; on principle

If an employer breaches an employment​ contract, the employee owes a duty to​ ________ damages by trying to find substitute employment. The employee is required to accept​ ________ employment.

• ​eliminate; substitute
• ​mitigate; any
• ​mitigate; comparable
• ​liquidate; similar
• ​accrue; identical