Which of the Following Is True with Regard to Ending

question 2

Multiple Choice

Which of the following is true with regard to ending a contract by performance, agreement, frustration, or breach?

• A) If a person owing money has tendered payment in a reasonable way, at a reasonable time, and it has been refused, he is free from any further obligation to pay.
• B) The victim of a breach can recover damages even for the loss he could have avoided if he had tried to.
• C) If the court holds that a contract has been ended by frustration, the damages awarded by the court will be the same as if the contract was ended by a breach.
• D) An exemption clause that a seller claims absolves him from liability may be of no effect if the seller has committed a "fundamental breach" of the contract.
• E) A person who breaches a contract is liable for all the loss that directly and naturally flows from the breach, no matter how unforeseeable.

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Definitions:

Willpower

refers to the ability to control impulses and delay short-term gratification for long-term objectives.

Commitment

The state or quality of being dedicated to a cause, activity, or goal.

Optimistic Biases

The tendency to believe that we are less likely to experience negative events and more likely to experience positive events compared to others.

Pessimistic Biases

A cognitive tendency to anticipate negative outcomes or to view situations more negatively than they may actually be.