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Test Your Knowledge
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Test Your Knowledge

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Questions and Answers

According to the text, why is the general law of remedies important?

  • It helps lawyers understand a theory of obligation.
  • It incorporates rules dealing with damages and other forms of relief.
  • It reveals most of the leading policies of contract and related law. (correct)
  • It is fundamental and worthy of special emphasis.
  • What types of relief are included in the general law of remedies?

  • Damages, restitutionary relief, and specific performance (correct)
  • Specific performance, punitive damages, and unforeseeability
  • Unforeseeability, repudiation, and restitutionary relief
  • Punitive damages, private remedial clauses, and specific relief
  • When do lawyers turn to the general law of remedies?

  • At an early stage, when a party fails to perform a duty or repudiates a duty not yet due (correct)
  • When a lawyer is involved in a dispute between parties
  • When a lawyer wants to preserve a business relationship
  • When a party seeks a remedy for a significant breach
  • Which case adopted the measure of damages applicable in cases of trespass for a contract involving the lowering of a street grade?

    <p>Washington case</p> Signup and view all the answers

    In the case of Morgan v. Gamble, what did the court require the building contractor to allow to the owners in a suit upon the contract?

    <p>The cost of laying a lead pipe as provided in the agreement</p> Signup and view all the answers

    What did the court hold in Morgan v. Gamble regarding the contractor who agreed to construct two gas lines, one for natural gas and one for artificial gas?

    <p>The contractor should be required to construct both gas lines as agreed upon</p> Signup and view all the answers

    According to the text, which interest presents the strongest case for judicial intervention?

    <p>Restitution interest</p> Signup and view all the answers

    According to the text, what does the reliance interest potentially cover?

    <p>Both losses caused and gains prevented</p> Signup and view all the answers

    According to the text, what is the purpose of justice according to Aristotle?

    <p>Maintaining an equilibrium of goods among members of society</p> Signup and view all the answers

    According to the text, what role does the law assume when transitioning from compensation for change of position to compensation for loss of expectancy?

    <p>Corrective and distributive</p> Signup and view all the answers

    According to the text, what was the reasonable cost of completing the performance of the contract?

    <p>$60,000</p> Signup and view all the answers

    What was the reasonable value of the property if the defendant had left the premises at the uniform grade required by the lease?

    <p>$12,160</p> Signup and view all the answers

    What was the measure of damages adopted by the decision in this case?

    <p>The difference in value of the land</p> Signup and view all the answers

    According to the text, what is the rule when a contractor wilfully and fraudulently varies from the terms of a construction contract?

    <p>The contractor cannot sue and have the benefit of the equitable doctrine of substantial performance</p> Signup and view all the answers

    According to the text, which of the following is NOT a purpose pursued in awarding contract damages?

    <p>Undoing the harm caused by the promisee's reliance on the promisor's promise</p> Signup and view all the answers

    According to the text, what is the interest protected in a case where the plaintiff has in reliance on the promise of the defendant conferred some value on the defendant?

    <p>Restitution interest</p> Signup and view all the answers

    According to the text, what is the interest protected in a case where the plaintiff has in reliance on the promise of the defendant changed his position?

    <p>Reliance interest</p> Signup and view all the answers

    According to the text, what is the interest protected in a case where the plaintiff seeks to give the promisee the value of the expectancy which the promise created?

    <p>Expectation interest</p> Signup and view all the answers

    According to the text, what is the main finding of the first systematic exploration of the moral psychology of contracts?

    <p>Subjects believed breach was morally objectionable and should be punished with supracompensatory damages.</p> Signup and view all the answers

    What did the majority opinion in the case mentioned in the text state?

    <p>The contract was executed except for defendant’s right to continue using the property for the stated term.</p> Signup and view all the answers

    According to the text, how did subjects in the experiment feel about supracompensatory damages compared to performance?

    <p>Subjects thought that supracompensatory damages were morally inferior to performance.</p> Signup and view all the answers

    How did subjects in the experiment feel about harms in contract and tort according to the text?

    <p>Subjects were more likely to demand punishment for breach of promise than for an ordinary tort.</p> Signup and view all the answers

    According to the text, what is the 'proper' measure of damages in case of substantial performance in good faith with remediable defects?

    <p>The cost of remedying the defect</p> Signup and view all the answers

    According to the text, what is the summit from which to reckon damages for a breach of a building contract?

    <p>The hypothetical peak of accomplishment that would have been reached if the work had been done as demanded by the contract</p> Signup and view all the answers

    According to the text, what would be the relevant element in reckoning damages for a breach of a grading contract?

    <p>The contractor's profit</p> Signup and view all the answers

    According to the text, what is the reason for not considering the value of the land in measuring damages for a willful breach of a building contract?

    <p>The owner's right to improve his property is not trammeled by its small value</p> Signup and view all the answers

    Lawyers turn to the general law of remedies as ______, drafters, interpreters, counselors, negotiators, and litigators.

    <p>planners</p> Signup and view all the answers

    The general law of remedies incorporates rules dealing with such topics as: the general availability of damages for breach or repudiation; the different ______ of damages; unforeseeability and other limits on recoverable damages; restitutionary relief in promissory contexts; the validity of private remedial clauses in agreements; specific performance and other forms of specific relief; and punitive damages.

    <p>measures</p> Signup and view all the answers

    To fully understand a theory of obligation, one must study the ______ available for breach of a duty arising under the theory.

    <p>remedies</p> Signup and view all the answers

    According to the text, what are the three principal purposes that may be pursued in awarding contract damages?

    <p>restitution interest, reliance interest, expectation interest</p> Signup and view all the answers

    According to the text, what may be forced by the court if the defendant fails to perform his promise?

    <p>the defendant to disgorge the value he received from the plaintiff</p> Signup and view all the answers

    According to the text, what may be awarded to the plaintiff for the purpose of undoing the harm caused by his reliance on the defendant's promise?

    <p>damages</p> Signup and view all the answers

    According to the text, what is the interest protected when the plaintiff seeks to give the promisee the value of the expectancy which the promise created?

    <p>expectation interest</p> Signup and view all the answers

    According to the text, the ______ interest presents the strongest case for relief because it involves a combination of unjust impoverishment with unjust gain.

    <p>restitution</p> Signup and view all the answers

    According to the text, the ______ interest is not entirely synonymous with 'gains prevented' because the disappointment of an expectancy often entails losses of a positive character.

    <p>expectation</p> Signup and view all the answers

    According to the text, the ______ interest must be interpreted as potentially covering 'gains prevented' as well as 'losses caused', because opportunities for gain may be foregone in ______ on a promise.

    <p>reliance</p> Signup and view all the answers

    According to the text, the general law of remedies assumes a more active role in compensating for loss of expectancy, as it seeks to bring into being a new situation rather than merely healing a disturbed status quo.

    <p>distributive</p> Signup and view all the answers

    According to the text, the measure of damages for a breach of a building or construction contract aims to give the disappointed promisee, so far as money will do it, what he was ______.

    <p>promised</p> Signup and view all the answers

    According to the text, the reasonable cost or value of performing what the defendant agreed but failed to perform is the natural and proximate ______.

    <p>damages</p> Signup and view all the answers

    According to the text, the reasonable cost of doing the work called for by the contract which the defendant left undone is the measure of damages when the contractor wilfully and fraudulently varies from the terms of a construction ______.

    <p>contract</p> Signup and view all the answers

    According to the text, the decision below rewards bad faith and deliberate breach of contract, which is not ______.

    <p>allowable</p> Signup and view all the answers

    According to the text, the 'correct doctrine' is that the ______ of remedying the defect is the 'proper' measure of damages.

    <p>cost</p> Signup and view all the answers

    According to the text, the Washington case involving the waiver of damages for the lowering of a street grade is ________.

    <p>sui generis</p> Signup and view all the answers

    According to the text, the owner is entitled to compensation for what he has lost, that is, the ______ which he has been promised, for which he has paid, and of which he has been deprived by the contractor's breach.

    <p>work or structure</p> Signup and view all the answers

    According to the text, in the case of Morgan v. Gamble the building contractor agreed to lay an extra strong lead water pipe, but substituted it with an iron pipe, therefore the court required him to allow the owners in a suit upon the contract, not the difference [in value] between the iron and lead pipes, but ________.

    <p>the cost of laying a lead pipe as provided in the agreement</p> Signup and view all the answers

    According to the text, the measure of damages in a grading contract case would be the ______.

    <p>contractor's profit</p> Signup and view all the answers

    According to the text, when a building contractor agrees to construct two gas lines, one for natural gas and one for artificial gas, the contractor is required to ________.

    <p>construct both gas lines</p> Signup and view all the answers

    According to the text, the measure of damages for a breach of a building contract is the ______ (not value) which would have been reached had the work been done as demanded by the contract.

    <p>hypothetical peak of accomplishment</p> Signup and view all the answers

    According to the text, people seem to prefer performance and _____ money damages as a remedy

    <p>disdain</p> Signup and view all the answers

    According to the text, subjects asked for damages _______ times the expectation value

    <p>2.19</p> Signup and view all the answers

    According to the text, 66.7 percent of subjects believed that the court should enforce _______ performance

    <p>specific</p> Signup and view all the answers

    According to the text, people treat harms in contract and tort _______

    <p>differently</p> Signup and view all the answers

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