FLK1 Contract Law: SQE practice questions

Fiona wanted to carry out some building work in her holiday cottage to provide extra training facilities for her horses. She decided to build a large, fenced area for them to run in. Fiona entered into a contract with Granger Ltd to build the training facilities for £20,000. The contract provided for completion of the work by 1st March. When work commenced on the training facilities, Granger encountered a network of pipes immediate under the surface, which need to be diverted. Granger demanded an extra £5,000 to cover their increased costs. Fiona could not find any other builder with the expertise to complete the contract on time and so agreed to pay the extra charge, without protest, so that the grounds would be completed on time for the horses to start training in the spring. On completion of the training facilities on 1st March Fiona refused to pay Granger any more than £20,000. Should Fiona:

Emma enters into a contract with David to purchase a rare painting for £20,000. The contract specifies that Emma will pay David £10,000 upfront, with the remaining £10,000 to be paid upon delivery of the painting. After paying the initial £10,000, Emma learns that David does not actually own the painting and has no legal right to sell it. Emma immediately notifies David that she is rescinding the contract and demands a refund of the £10,000 she already paid. David refuses to refund the money, claiming that Emma breached the contract by failing to pay the full purchase price. What legal principles apply to this situation?

Emma enters into a contract with David to sell her antique clock for £500. The contract specifies that Emma will deliver the clock to David’s address on a specified date, and David will pay the agreed price upon delivery. However, on the specified date, Emma fails to deliver the clock to David as agreed. David waits for several days but does not receive the clock. He then purchases a similar antique clock from another seller for £600. What legal principle applies to David’s rights in this situation?

Alice and Bob enter into a written contract for Bob to deliver 100 boxes of goods to Alice’s warehouse by a specified date in exchange for £10,000. After signing the contract, Alice realizes that she actually needs 150 boxes of goods to fulfil her customer orders. Alice contacts Bob and asks if he would be willing to deliver an additional 50 boxes of goods for an extra £2,000. Bob agrees in writing to Alice’s request. However, after delivering the additional 50 boxes of goods, Bob demands an extra £3,000 from Alice, claiming that the increased workload was more burdensome than anticipated. Alice refuses to pay the additional amount, arguing that they already agreed on the price of £2,000 for the additional boxes. What legal principle governs the modification of the contract in this situation?

Alice hires Bob, a professional painter, to paint her house for £3,000. They agree that the painting will be completed within two weeks. However, Bob fails to start the work on the agreed-upon date and does not communicate with Alice for several days. Alice becomes concerned about the delay and hires another painter, Carol, to complete the job for £3,500. When Alice informs Bob of her decision, he apologizes but insists that he can still complete the work. Alice refuses Bob’s offer and proceeds with the contract with Carol. Was Alice correct to terminate the contract with Bob?

Alice, a small business owner, enters into a contract with Bob to purchase inventory for her shop. Bob realizes that Alice is in urgent need of the inventory to fulfil existing client orders and threatens to withhold the delivery of the inventory unless Alice agrees to pay a significantly higher price than originally negotiated. Feeling pressured and fearing the consequences of not receiving the inventory on time, Alice reluctantly agrees to Bob’s demands and signs the contract. Can Alice subsequently rescind the contract with Bob?

Alice books a taxi to take her to the airport to catch a flight scheduled to depart at 10:00 AM. The taxi service, operated by Bob, assures Alice that the taxi will arrive at her location by 8:00 AM to allow ample time for the journey. However, due to a delay in traffic and a breakdown of one of Bob’s taxis, the taxi arrives at Alice’s location at 9:30 AM, causing her to miss her flight. As a result, Alice incurs additional costs for rebooking her flight, accommodation, and rescheduling her appointments at her destination. Alice decides to take legal action against Bob for breach of contract. Which principle governs the assessment of damages for breach of contract in this scenario?

Emily, a freelance graphic designer, entered into a contract with ABC Publishing Ltd. to create a series of illustrations for their upcoming book. The contract stipulated that the illustrations were to be completed and delivered by May 1st, with a payment of £5,000 upon delivery. Due to unforeseen personal issues, Emily was unable to complete the illustrations by the agreed date. ABC Publishing Ltd., needing the illustrations urgently, had to hire another designer at a cost of £7,000 to complete the work. ABC Publishing Ltd. is now seeking to recover the additional cost from Emily. Which of the following statements best describes ABC Publishing Ltd.’s legal position regarding the breach of contract?

Mary is an elderly woman who recently inherited a significant amount of money. Her nephew, John, who has been helping her manage her finances, persuades her to transfer a large portion of her inheritance to him, claiming he will invest it wisely on her behalf. Mary, trusting John completely and feeling pressured by his insistence, agrees and transfers the money. Later, Mary learns that John has used the money for his personal expenses and not for investments as promised. Mary feels that she was tricked by John and wants to take legal action to recover her money. Which of the following elements must Mary prove to successfully reclaim the funds in this scenario?

Tom, a professional landscaper, entered into a contract with Green Gardens Ltd. to provide landscaping services for their new commercial property. The contract stipulated that Tom would complete the landscaping work within three months for a total fee of £15,000, with £5,000 to be paid upfront and the remaining £10,000 upon completion. Tom started the work as agreed but experienced significant delays due to unforeseen weather conditions and shortages of materials. As a result, the project extended to five months. Green Gardens Ltd. refused to pay the remaining £10,000, arguing that Tom breached the contract by failing to complete the work on time. Tom believes that he is entitled to the remaining payment despite the delays. Which of the following principles is most relevant in determining whether Tom can recover the remaining £10,000 for his services despite the delays?

Samantha decides to purchase a vintage car from Classic Motors Ltd. Before the sale, the salesperson at Classic Motors Ltd. tells Samantha that the car has only 20,000 miles on the odometer and has never been in an accident. The salesperson knew this not to be the case, but was keen to make a sale in order to impress her boss. Relying on these statements, Samantha purchases the car for £25,000. After a few weeks, the car suffers a break down. Samantha takes the car to her mechanic for repair, only to discover that the car has actually travelled 80,000 miles and has been involved in a major accident that was not disclosed. Feeling cheated, Samantha wants to take legal action against Classic Motors Ltd. for misrepresentation. Which of the following best describes the type of misrepresentation Samantha has likely encountered, and the remedies available to her?

Emily, an elderly woman, is persuaded by her nephew, Robert, to transfer the ownership of her house to him. Robert tells Emily that it will be easier for him to take care of her if he owns the property. Emily, who relies heavily on Robert for daily care and has no close family members, feels pressured to agree to the transfer despite her reservations. She signs the necessary documents, transferring the house to Robert without receiving any independent legal advice. A few months later, Emily regrets her decision and seeks to challenge the validity of the transfer, claiming that she was unduly influenced by Robert. Which of the following legal principles or actions is most relevant in determining whether the transfer of the house can be set aside?