Reference no: EM131038454
1. Which one of the following statements regarding punitive damages is not correct?
A. They are awarded where the breach of contract also constitutes an independent malicious or wanton tort.
B. They are often awarded for egregious breaches of contract.
C. Their purpose is to deter the wrongdoer from similar conduct in the future.
D. They are awarded where the breach involves the malicious or wanton violation of a fiduciary duty.
2. The modern analysis of compensatory damages divides a contracting party's legally protected interest into all of the following interests except
A. A restitution interest.
B. An expectancy interest.
C. An allocation interest.
D. A reliance interest.
3. In which one of the following cases did the court rely in part on the rule that after an absolute repudiation or refusal to perform by one party to a contract, the other party cannot continue to perform and then also recover damages based on full performance?
A. Gruber v. S-M News Co.
B. Mader v. Stephenson
C. Hadley v. Baxendale
D. Rockingham County v. Luten Bridge Co.
4. All of the following statements are correct regarding attorney-client retainers except
A. lawyers may keep a client's retainer funds if the funds are labeled unrefundable.
B. if a client fires an attorney without cause, the attorney may recover in quantum meruit.
C. subject to a few exceptions, attorneys have no right to expectancy damages.
D. the client-attorney contract is terminable at will by the client.
5. The Hadley v. Baxendale case
A. upheld the lower court's decision based on the policy of protecting enterprises.
B. is no longer a leading case in the field.
C. allowed the aggrieved party to recover damages if they were "fairly and reasonably considered arising naturally from the breach."
D. was followed by a number of English cases that applied a more lenient rule than the Hadley v. Baxendale rule.
6. In which one of the following cases did the court agree that in the absence of bad faith, a breach by the vendor of an executory contract to convey title to real estate entitled the buyer to recover the purchase money paid together with interest and the expenses of investigating title?
A. National Controls, Inc. v. Commodore Business Machines, Inc.
B. Anglia Television Ltd. v. Reed
C. Horton v. O'Rourke
D. Gruber v. S-M News
7. Damages will likely be awarded for the mental distress or emotional trauma caused by a breach of contract except for
A. Contracts for funeral arrangements.
B. Employment contracts.
C. A bank's mismanagement of a construction loan.
D.Expulsion of guests from hotels.
8. Which one of the following statements regarding proof of the value of real estate is not correct?
A. The standard of valuation in contract cases is by and large market value.
B. Many courts allow a landowner to testify as to the value of his property.
C. When market value does not fully compensate for the peculiar use of the property by the owner, the standard used is "value to the owner."
D. Offers to purchase property are admissible as proof of value.
9. Which one of the following statements regarding the doctrine of avoidable consequences (i.e., the duty to mitigate damages) is not correct?
A. Mitigation efforts must be successful for a party to show they have properly mitigated their damages.
B. A party seeking damages must make reasonable efforts to mitigate damages.
C. The wronged party need not act if the cost of avoidance would involve unreasonable expense.
D. The burden is on the breaching party to prove that the aggrieved party failed to mitigate.
10. In which one of the following cases did the court state that criticism of UCC section 2-708 allowing lost profits to a "lost volume seller" has not resulted in any revision of the section?
A. `Mader v. Stephenson
B. Hessler v. Crystal Lake Chrysler-Plymouth, Inc.
C. National Controls, Inc. v. Commodore Business Machines, Inc.
D. Protectors Insurance Service Inc. v. United States Fidelity & Guaranty Company