Question 1
A contract is terminated by agreement in which of the following situations:
◦ unilateral release.
◦ breach.
◦ the occurrence of a condition subsequent.
◦ frustration.
◦ a written statement by one party to cancel an accepted order.
Question 2
Which of the following is true with regard to ending a contract by performance, agreement, or breach?
◦ A contract ends by agreement when the parties include in the contract a "condition subsequent" (i.e., a clause that says the contract will end upon the happening of a specified future event that then takes place).
◦ If one party to the contract has paid for a service, but now the other party doesn't want to perform, the contract is ended by agreement as long as both parties agree to call it off.
◦ If a person properly tenders performance of a service that is rejected by the other party, he is required to try again and again.
◦ A contract can be ended by breach if there was either a breach of condition or a breach of warranty.
◦ A person has legally tendered performance if he pays a $500 debt in 25-cent coins.
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