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NEW QUESTION 26
Which of the following would not be considered acceptance of a contract term?

• A. a handshake
• B. accepting a delivery of a product into the factory
• C. an invoice
• D. silence

Answer: D

Explanation:
Silence is not acceptance. Acceptance can be in writing, verbal or implied by conduct. The three other options are ways in which a contract could be accepted by conduct. See p.8 of the study guide

NEW QUESTION 27
Which of the following will you put into box 7?

• A. mediation
• B. litigation
• C. adjudication
• D. arbitration

Answer: B

Explanation:
The correct answers are as follows:

This is litigation as it involves a legal team and it's public. Out of the 4 options only litigation is a public dispute resolution.

NEW QUESTION 28
Which of the following will you put into box 7?

• A. Warranty
• B. Innominate Term
• C. Condition

Answer: C

Explanation:
The correct answers are as follows:

This is a condition. Again the food being organic would be fundamental to the contract as the health of the llamas depend on it.

NEW QUESTION 29
Popsi Cula is a manufacturer of sugared beverages and produces over 5000 tonnes of soda each day. It is extremely important that ingredients are delivered to the factory on specific days in order for the production to keep to its very tight schedule. Popsi Cula is onboarding a new supplier - which of the following clauses would it be important for the contract to contain?

• A. time is of the essence
• B. KPIs
• C. liquidated damages
• D. limitation of liability

Answer: A

Explanation:
A Time is of the Essence Clause should be included. This stresses the importance of obligations being completed on time, with any delays (e.g. in delivery of ingredients) being treated as a breach of a condition. The other three options are probably important to have in a contract, but don't relate specifically to this example. See p.45 for more information on Time is of the Essence Clauses

NEW QUESTION 30
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