Fact Pattern 17-A1 (Questions A9-A10 Apply)

question 10

Multiple Choice

Fact Pattern 17-A1 (Questions A9-A10 apply)
Mutual Company enters into a contract to employ Neil as an investment manager for two years.During the first year,Neil is often absent without explanation and when present fails to adequately monitor and manage Mutual's investments.
-Refer to Fact Pattern 17-A1.Neil's performance is most likely

• A)a material breach.
• B)a minor breach.
• C)Mutual's breach.
• D)no breach.

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Definitions:

Exclusive Dealing

An agreement between a supplier and a retailer where the retailer agrees to only purchase goods from the supplier, excluding products from competitors.

Best Efforts

A contractual obligation that requires one party to exert all possible efforts to fulfill the terms of the contract without guaranteeing a specific outcome.

UCC

The Uniform Commercial Code is an extensive collection of regulations that oversee commercial dealings within the United States.

Risk of Loss

The potential for an asset to decrease in value or for a financial loss to occur in a transaction.