Order of Performance Self-Quiz
Howard hires College Painters
to paint his house. The contract states that the company will paint the
house white with blue trim and Howard will pay $10,000 for the job. The
contract does not say when the job should be completed nor when Howard
is obligated to pay for the work. Before beginning the job, the company
demands that Howard pay the $10,000 up front. When Howard refuses, the
company refuses to begin working. If Howard sues for breach of contract,
he will:
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Howard hires College Painters
to paint his house. The contract states that the company will paint the
house white with blue trim and Howard will pay $10,000 for the job. One
week before the company is supposed to begin working, the company’s
house burns down, destroying all of their equipment. Within three months,
the company has replaced its equipment and is back in business. The company
calls Howard and tells him that they will be able to paint his house but
Howard informs them that, after the fire, he hired another painter to
paint his house. If the company sues Howard for breach of contract, they
will win:
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Howard hires College Painters
to paint his house. The contract states that the company will paint the
house white with blue trim and Howard will pay $10,000 for the job. One
week after the company has begun working, Howard tells them that he has
filed for bankruptcy and might not be able to pay the $10,000 contract
price for the job. If the company completely abandons the project, they
will not be in breach of the contract:
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Ben and Jerry and Moo Juice
enter into a contract under which Moo Juice will ship ten thousand gallons
of milk to Ben and Jerry every month for two years and Ben and Jerry will
pay $1 per gallon. One week before the first delivery is due, Ben and
Jerry file for bankruptcy and inform Moo Juice that they will not be able
to buy milk from them. Moo Juice writes to Ben and Jerry and asks them
to assure Moo Juice that they will eventually perform on the contract.
One month goes by and Moo Juice gets no response to its letter. If Moo
Juice sues Ben and Jerry for breach, they will win:
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