Waiting for Unfavorable Events to Occur and Then Reacting to Them

question 14

Multiple Choice

Waiting for unfavorable events to occur and then reacting to them

• A) is part of a well designed response plan.
• B) reflects much planning and consideration of consequences.
• C) is a cost saving measure by not planning.
• D) can result in panic and costly responses.

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Definitions:

Mitigate Loss

Actions taken to reduce the severity or impact of a loss or damage, often a duty in contractual contexts.

Consideration

In contract law, something of value that is given by both parties to a contract that induces them to enter into the agreement to exchange mutual performances.

Damages

Financial compensation ordered by a court to be paid to a person who has suffered loss or harm due to the unlawful act or negligence of another.

Condition Precedent

A legal term for a condition that must be fulfilled before a party is required to perform a contractual obligation.