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| 1 | |
Uniform Commercial Code (UCC) Sections 2-703(f) and 2A-523(1)(a) allow a seller or lessor to cancel the contract if the buyer or lessee is in __________. |
| | A) | Agreement |
| | B) | Concurrence |
| | C) | Breach |
| | D) | Abeyance |
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| 2 | |
__________ damages are damages specified in the contract before the breach occurs. |
| | A) | Consequential |
| | B) | Incidental |
| | C) | Liquidated |
| | D) | Non-liquidated |
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| 3 | |
UCC Section 2-718 pertains to liquidated damages and allows the non-breaching seller to claim against a breaching buyer __________ percent of the purchase price or $__________, whichever is less, as liquidated damages. |
| | A) | 25, 500 |
| | B) | 20, 500 |
| | C) | 20, 1000 |
| | D) | 25, 1000 |
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| 4 | |
In obtaining "cover", the buyer must demonstrate all but which of the following? |
| | A) | Good faith in obtaining substitute goods |
| | B) | Payment of a reasonable amount for substitute goods |
| | C) | Action without unreasonable delay in purchasing the substitute goods |
| | D) | Purchase of substitute goods from a non-commercial seller |
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| 5 | |
__________ damages include damages for lost profits, as long as such damages are not too __________. |
| | A) | Nominal; speculative |
| | B) | Nominal; definitive |
| | C) | Consequential; speculative |
| | D) | Consequential; definitive |
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| 6 | |
The remedy of __________ performance usually requires that the seller or lessor deliver the particular goods identified in the contract. |
| | A) | Specific |
| | B) | Speculative |
| | C) | Definitive |
| | D) | Demonstrable |
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| 7 | |
When the buyer/lessee is in breach of contract, the seller/lessor can exercise which of the following remedies? |
| | A) | Cancel the contract |
| | B) | Reject non-conforming goods |
| | C) | Revoke acceptance of non-conforming goods |
| | D) | A. and B. only |
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| 8 | |
When the buyer/lessee is in breach of contract, the seller/lessor can exercise which of the following remedies? |
| | A) | Sue to recover the purchase price, lease payments due, or some other measure of damages that give the seller or lessor the benefit of the bargain |
| | B) | Claim liquidated damages |
| | C) | Stop delivery |
| | D) | All of the above |
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| 9 | |
When the seller/lessor is in breach, the buyer/lessee can: |
| | A) | Cancel the contract |
| | B) | Obtain cover |
| | C) | Sue to recover damages |
| | D) | All of the above |
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| 10 | |
Courts uphold modifications or limitations to remedies unless the remedies fail in their __________. |
| | A) | Essence |
| | B) | Essential purpose |
| | C) | Usefulness |
| | D) | Results |
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