Question 1

Which of the following are a suitable course of action to take in the event of a minor breach of a contract? Select TWO

Options :

A : litigation

B : progress meetings

C : collaboration

D : adjudication

E : liquidated damages

Answer: B,C

Question 2

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Which of the following will you put into box 2?

Options :

A : subcontracting

B : reputational damage

C : penalty clause

D : consequential loss

Answer: B

Question 3

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Which of the following will you put into box 4?

Options :

A :

Payment Term

B : Time is of the Essence

C : Subcontracting

D : Specification

Answer: C

Question 4

Which of the following would be included in a contract to assign costs and responsibilities between buyer and seller when products are delivered?

Options :

A : Indemnity

B : Liquidated Damages

C : Liability

D : Incoterms

Answer: D

Question 5

Sarah is a baker and orders free-range eggs from a local supplier which she uses to make cakes. There is a contract in place which included a specification that states that the eggs must be free-range. One day the supplier delivers eggs which Sarah uses in the cakes. Later she discovered that these were not free-range. Sarah believes that the supplier has broken the contract. Is this true?

Options :

A : Yes- this is a breach of a condition

B : Yes- this is a fundamental breach

C : no- the specification is not a contract document

D : no - there has been a breach in a warranty

Answer: D

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