In the case Shah v. Cover-It, Inc., the court found that Shah's ten-week vacation and subsequent part-time work constituted a material breach of his employment contract. What was the legal effect of this material breach?

Correct answer: Cover-It was excused from further performance under the contract.

Explanation

This question tests the understanding of a case study by asking for the specific legal consequence that resulted from the court's finding of a material breach.

Other questions

Question 1

What is a condition in a contract, as described in the chapter on Performance and Discharge?

Question 2

A real estate contract is contingent on the buyer's ability to obtain financing from a bank. According to the chapter, what type of condition is the bank's approval of the mortgage application?

Question 3

A law firm hires a recent graduate, and their contract specifies that the firm's obligation to continue employment is discharged if the new lawyer fails to maintain her license to practice law. How does the chapter classify this provision?

Question 4

When does a party's performance under a contract need to be perfect to be considered complete?

Question 5

What is the primary requirement for the doctrine of substantial performance to apply?

Question 6

In the case of Jacob & Youngs v. Kent, the contract specified that 'Reading' brand pipe must be used. A different but equivalent quality pipe was used instead. What was the court's measure of damages?

Question 7

What is the key difference between a material breach and a minor breach of contract?

Question 8

What is anticipatory repudiation of a contract?

Question 9

If a contract for the sale of goods does not specify a time for performance, what is the legal implication?

Question 10

What is required for a mutual rescission of a contract to be valid?

Question 11

What is the key difference between a novation and a substituted agreement?

Question 12

A contract can be discharged by operation of law under several circumstances. Which of the following is NOT a method of discharge by operation of law mentioned in the text?

Question 13

According to the chapter, what is the time limit for bringing a lawsuit for breach of a written contract in most states?

Question 14

A party cannot deliver goods on time because of a freight car shortage. How does the chapter classify this situation regarding impossibility of performance?

Question 15

Which of the following situations is a valid ground for discharging a contract based on objective impossibility of performance?

Question 16

What is the primary difference between the doctrines of commercial impracticability and frustration of purpose?

Question 17

In the case of Facto v. Pantagis, a power failure occurred during a wedding reception. The contract contained a clause excusing performance for an 'act of God (e.g., flood, power failure, etc.), or other unforeseen events or circumstances.' Why did the court hold that the power failure excused the banquet hall's performance?

Question 18

A 'tender' of performance is defined as:

Question 19

If a contract contains a clause that performance must be to the 'satisfaction of a third party,' such as a supervising engineer, what standard do a majority of courts apply?

Question 20

Under what circumstances does anticipatory repudiation of a contract often occur?

Question 21

What are the four requirements of a novation?

Question 22

What is the consequence if a party to a contract materially alters a quantity or price term in a written contract without the knowledge or consent of the other party?

Question 23

If a contract is discharged due to temporary impossibility, what is the ordinary outcome once the impossibility ceases?

Question 24

An accord and its satisfaction discharge an original contractual obligation. What is the status of the original obligation after an accord is made but before it is performed?

Question 25

Which of the following scenarios best represents a situation where a contract would be discharged due to frustration of purpose?

Question 26

In the context of concurrent conditions, if a buyer promises to pay for goods when the seller delivers them, what must the seller do to make the buyer's duty to pay absolute?

Question 27

If a contract is for personal services, such as a portrait painting, what is the standard for determining if the performance is satisfactory?

Question 28

What is the typical limitations period for bringing a lawsuit for breach of an oral contract?

Question 29

If a supervening event makes performance only temporarily impossible, under what circumstance might the contract be discharged rather than just suspended?

Question 31

What is the primary purpose of conditions in a contract?

Question 32

If a builder, in good faith, uses a different but functionally and aesthetically equivalent brand of materials than what was specified in a non-conditional part of a construction contract, what doctrine will likely apply?

Question 33

If one party retracts their anticipatory repudiation before the other party treats it as a breach, what is the result?

Question 34

When is a contract clause stating that time is 'of the essence' typically used?

Question 35

Which method of discharge involves substituting a new contract between the original parties?

Question 36

What does discharge in bankruptcy typically do to most of a debtor's contracts?

Question 37

A change in zoning laws makes the construction of a residential building, as specified in a contract, illegal. What is the legal effect on the contract?

Question 38

A condition that is understood to be part of an agreement but is not found in the express language of the contract is known as what?

Question 39

Which of the following does NOT need to be proven for a nonbreaching party to be excused from performance due to a material breach?

Question 40

What is the primary reason the law treats an anticipatory repudiation as a present, material breach?

Question 41

If two parties agree to rescind a contract for the sale of land, what form must the rescission agreement take?

Question 42

What is the typical time limit set by the UCC for bringing an action for breach of a contract for the sale of goods?

Question 43

If a contract for personal services is discharged due to the death of the performing party, what is the effect on that party's estate?

Question 44

For the doctrine of commercial impracticability to apply, the supervening event must have been:

Question 45

What is the primary legal consequence of a party performing substantially, but not completely?

Question 46

In a construction contract, if the owner breaches after the construction has been completed, what can the contractor recover?

Question 47

When an accord and satisfaction is used to discharge a contract, the performance of the accord agreement is known as the:

Question 48

If a contract contains an express condition requiring a building to meet certain specifications, and the builder fails to meet those specifications, what is the result?

Question 49

Under the 'danger invites rescue' doctrine, who is liable for injuries sustained by a person who is injured while going to someone else's rescue?

Question 50

What is the primary effect of a valid waiver of a breach of contract?