Excuse of Performance in Contracts: Master the Exceptions to Breach

Question 1

Which of the following is NOT a recognized excuse for nonperformance of a contract?

Accepted Answer

Unforeseen circumstances

Answer

Impossibility

Answer

Frustration of purpose

Answer

Impracticability

Question 2

Which of the following is NOT a defense to a claim for breach of contract based on impossibility?

Accepted Answer

The impossibility was foreseeable by the plaintiff

Answer

The impossibility was caused by the plaintiff's own fault or negligence

Answer

The impossibility was caused by a third party over whom the defendant had no control

Answer

The impossibility was caused by an act of God or other force majeure event

Question 3

Which of the following is NOT a remedy for breach of contract based on frustration of purpose?

Accepted Answer

Specific performance of the contract

Answer

Rescission of the contract

Answer

Damages for the loss of the benefit of the bargain

Answer

Injunction to prevent further breach of the contract

Question 4

Which of the following is NOT a remedy for breach of contract based on impossibility?

Accepted Answer

Specific performance of the contract

Answer

Rescission of the contract

Answer

Damages for the loss of the benefit of the bargain

Answer

Restitution of any benefits received under the contract

Question 5

Which of the following is NOT a factor that courts consider when determining the extent to which a contract has been discharged by impossibility?

Accepted Answer

The foreseeability of the impossible event

Answer

The degree of difficulty in performing the contract

Answer

The degree of benefit that the plaintiff would receive from performance

Answer

The degree of risk that the defendant assumed under the contract

Question 6

Which of the following is NOT a recognized doctrine that legally excuses non-performance of contractual obligations?

Accepted Answer

Mistake

Answer

Impossibility

Answer

Frustration of purpose

Answer

Impracticability

Question 7

In a construction contract, if the contractor encounters unforeseen soil conditions that make construction excessively expensive, which doctrine(s) may be applicable?

Accepted Answer

Both Impracticability and Frustration of Purpose

Answer

Impossibility

Answer

Frustration of purpose

Answer

Impracticability

Question 8

Which of the following scenarios represents an instance of subjective impossibility?

Accepted Answer

A concert pianist is unable to perform due to a sudden illness.

Answer

A new law makes the sale of a particular product illegal.

Answer

A construction project is halted due to an unexpected shortage of a crucial material.

Question 9

Which of the following factors is NOT considered in determining whether performance has become commercially impracticable?

Accepted Answer

Mere increase in difficulty or expense.

Answer

Unexpected surge in the cost of performance.

Answer

Unforeseeable shortage of essential materials.

Answer

Government regulation rendering performance illegal.

Question 10

In the case of a contract for the sale of goods, the excuse of impracticability is available only if:

Accepted Answer

The seller has not undertaken an absolute obligation to deliver the goods.

Answer

The seller has made diligent efforts to procure a substitute.

Answer

The buyer has refused to pay for the goods.

Answer

The failure to deliver the goods is caused by a force majeure event.

Question 11

In the case of a bilateral contract, the excuse of impossibility applies:

Accepted Answer

To both parties mutually.

Answer

Exclusively to the party who is unable to perform.

Answer

Only to the party who is not responsible for the impossibility.

Answer

To neither party.

Question 12

In the case of a contract for the sale of a particular horse, which of the following events would most likely qualify as an impracticability?

Accepted Answer

The horse becomes ill.

Answer

The horse is stolen.

Answer

The horse's performance declines.

Answer

The buyer changes their mind about purchasing the horse.

Question 13

Which of the following situations would **not** be considered an excuse for non-performance under the doctrine of supervening illegality?

Accepted Answer

Economic conditions change, making performance more costly.

Answer

A new law makes the sale of the goods in the contract illegal.

Answer

A government regulation makes performance impossible.

Question 14

In the case of a partial excuse of performance in a contract, which of the following is a possible outcome?

Accepted Answer

Proportional distribution of responsibility among the parties

Answer

Complete release from all contractual obligations

Answer

Immediate termination of the contract

Answer

Enforcement of specific performance

Question 15

Which of the following is a consequence of a successful frustration of purpose defense?

Accepted Answer

Discharge of the contractual obligations

Answer

Specific performance of the contract

Answer

Recovery of damages for breach of contract

Question 16

Which of the following statements about the doctrine of impossibility is true?

Accepted Answer

It applies when performance is objectively impossible, not merely difficult or expensive.

Answer

It can be applied even if the impossibility was caused by the party's own fault.

Answer

It is always an absolute defense to breach of contract.

Question 17

Which of the following is NOT a factor considered in determining whether a performance has become impracticable?

Accepted Answer

The party's subjective belief that performance is impossible

Answer

The extent to which the increased cost of performance is unforeseen

Answer

The nature and purpose of the contract

Question 18

Which of the following is NOT an element of the impossibility defense?

Accepted Answer

Foreseeability

Answer

Objective impossibility

Answer

Destruction of the subject matter

Answer

Material impossibility

Question 19

In the case of frustration of purpose, performance of the contract will be excused when:

Accepted Answer

The purpose of the contract is substantially frustrated

Answer

The non-performance is immaterial

Answer

The contract is impossible to perform

Question 20

Which of the following is an example of commercial impracticability?

Accepted Answer

A sudden increase in the cost of production due to a natural disaster

Answer

Death of a party to the contract

Answer

Frustration of the contract's purpose

Answer

Outbreak of war

Question 21

Subjective impracticability refers to:

Accepted Answer

Difficulties encountered by a particular party due to their unique circumstances

Answer

Frustration of purpose

Answer

Economic hardships commonly experienced by the industry

Answer

Impossibility of performance

Question 22

Which of the following is a potential consequence of an excused breach of contract?

Accepted Answer

Termination of the contract

Answer

Statutory damages

Answer

Specific performance

Answer

Attorney fees

Question 23

In the context of the excuse of performance, the doctrine of "supervening illegality" refers to:

Accepted Answer

When a contract becomes illegal to perform due to subsequent legislation

Answer

When a contract is frustrated by the occurrence of an unforeseen event

Answer

When a contract is void from the beginning due to illegality

Question 24

Which of the following is a key difference between impossibility and frustration of purpose?

Accepted Answer

Impossibility focuses on the objective inability to perform, while frustration of purpose focuses on the subjective disappointment of the parties

Answer

Impossibility requires foreseeability, while frustration of purpose does not

Question 25

Under the doctrine of impossibility, a contractual obligation will be excused if which of the following occurs?

Accepted Answer

The subject matter of the contract is destroyed.

Answer

Economic conditions change.

Answer

The promisor lacks sufficient funds to perform.

Answer

Performing the contract becomes unexpectedly difficult.

Question 26

In cases involving frustration of purpose, the promisor's performance will be excused if:

Accepted Answer

The purpose of the contract is substantially frustrated without fault on either party's side.

Answer

The promisor experiences financial hardship.

Answer

The contract becomes more difficult or expensive to perform.

Question 27

When determining whether a contractual obligation is impracticable, which of the following factors is NOT considered?

Accepted Answer

Whether the difficulty was foreseeable.

Answer

The availability of alternative means of performance.

Answer

The cost of performance.

Answer

The extent of the difficulty.

Question 28

In the context of frustration of purpose, a promisor's performance will NOT be excused if:

Accepted Answer

The frustration of purpose is caused by a change in the promisor's own circumstances.

Answer

The frustration of purpose is substantial.

Answer

The frustration of purpose is unforeseen.

Question 29

Impracticability as an excuse for non-performance requires:

Accepted Answer

That the difficulty of performance be extreme and unreasonable.

Answer

That the promisor have no other contractual obligations to perform.

Answer

That the performance be impossible.

Question 30

A potential consequence of an excuse for non-performance is:

Accepted Answer

Discharge of the promisor's contractual obligation.

Answer

Specific performance of the contract.

Answer

Imposition of damages on the promisor.

Question 31

Which of the following is NOT a recognized excuse for non-performance of contractual obligations under the doctrine of impossibility?

Accepted Answer

Impossibility that is reasonably foreseeable at the time the contract was entered into

Answer

Impossibility that is not reasonably foreseeable at the time the contract was entered into

Answer

Destruction of the subject matter of the contract

Answer

Change in law making performance illegal

Question 32

In which of the following situations would the doctrine of impracticability NOT apply?

Accepted Answer

A contract to deliver a shipment of goods becomes more expensive to perform due to a sudden increase in fuel prices.

Answer

A contract to deliver a shipment of goods becomes impossible to perform due to a sudden natural disaster.

Answer

A contract to construct a building becomes impossible to perform due to a change in building codes.

Question 33

In the context of impracticability, which of the following is NOT a factor considered in determining whether performance is excused?

Accepted Answer

The foreseeability of the impracticability

Answer

The extent of the impracticability

Answer

The cause of the impracticability

Answer

The nature of the impracticability

Question 34

Which of the following is NOT recognized as an excuse for non-performance under common law?

Accepted Answer

Inevitable loss

Answer

Impossibility

Answer

Impracticability

Answer

Frustration of purpose

Question 35

Which doctrine excuses performance when the principal purpose of the contract is destroyed through no fault of either party?

Accepted Answer

Frustration of purpose

Answer

Impossibility

Answer

Hardship

Answer

Impracticability

Question 36

When a party's subjective expectations are not met, which doctrine may excuse performance?

Accepted Answer

Frustration of purpose

Answer

Commercial impracticality

Answer

Impossibility

Answer

Impracticability

Question 37

Which of the following is a potential consequence of non-performance excused under the doctrine of impossibility?

Accepted Answer

Discharge of both parties from their contractual obligations

Answer

Award of damages to the non-breaching party

Answer

Specific performance

Question 38

In which of the following scenarios would the doctrine of impracticability most likely be applied?

Accepted Answer

A construction project becomes significantly more expensive due to a sudden increase in material prices

Answer

A concert is canceled due to an unexpected storm

Question 39

When an unforeseen change in circumstances makes performance excessively burdensome, which doctrine may provide relief?

Accepted Answer

Impracticability

Answer

Hardship

Answer

Impossibility

Answer

Frustration of purpose

Question 40

Which of the following is NOT a recognized excuse for non-performance of contractual obligations?

Accepted Answer

Unforeseeability

Answer

Impossibility

Answer

Impracticability

Answer

Frustration of purpose

Question 41

In which of the following situations would impossibility be an excuse for non-performance?

Accepted Answer

When an artist agrees to paint a portrait of a specific person, but the person dies before the painting is completed

Answer

When the cost of performance increases substantially

Answer

When the purpose of the contract is no longer achievable

Question 42

Frustration of purpose occurs when:

Accepted Answer

The purpose of the contract is substantially frustrated by an unforeseen event that was not caused by either party

Answer

The cost of performance becomes excessive

Answer

The performance becomes impossible

Question 43

Which of the following is a common defense to a claim of frustration of purpose?

Accepted Answer

Failure to take reasonable steps to avoid frustration

Answer

Foreseeability of the event

Answer

Substantial frustration of purpose

Question 44

Which of the following is NOT a recognized excuse for non-performance under contract law in the United States?

Accepted Answer

Unforeseen Difficulty

Answer

Frustration of Purpose

Answer

Impossibility

Answer

Impracticability

Question 45

To establish impossibility as an excuse for non-performance, which of the following is NOT a required element?

Accepted Answer

Foreseeability of the impossibility

Answer

Subsequent occurrence of the impossibility

Answer

Total impossibility of performance

Question 46

A key element of the doctrine of frustration of purpose is:

Accepted Answer

The purpose of the contract is substantially frustrated by an unforeseen event.

Answer

The cost of performance becomes excessive.

Answer

The performance of the contract becomes impossible.

Question 47

In the context of frustration of purpose, which of the following is generally NOT considered a substantial frustration?

Accepted Answer

A minor inconvenience or disappointment.

Answer

The destruction of the subject matter of the contract.

Answer

An unexpected war that prevents the parties from performing.

Answer

A change in government regulations that makes performance impossible.

Question 48

A contract for the sale of a rare, vintage car is formed. Before delivery, the car is destroyed in a fire. Which doctrine is most likely to excuse the seller from performance?

Accepted Answer

Impossibility

Answer

Frustration of Purpose

Answer

Waiver

Answer

Impracticability

Question 49

A company contracts to rent a large hall for a concert. Due to unforeseen government restrictions, large gatherings are prohibited, making the concert impossible. Which doctrine is most likely to apply in this situation?

Accepted Answer

Frustration of Purpose

Answer

Impracticability

Answer

Impossibility

Question 50

A construction company contracts to build a skyscraper using a specific type of steel. Due to a global steel shortage, the cost of the steel skyrockets, making performance extremely burdensome. Which doctrine is most likely to apply?

Accepted Answer

Impracticability

Answer

Force Majeure

Answer

Impossibility

Answer

Frustration of Purpose

Question 51

Which of the following is NOT a key element for establishing impracticability as an excuse for non-performance?

Accepted Answer

The event must have been reasonably foreseeable at the time the contract was formed.

Answer

The event must make performance extremely burdensome.

Answer

The event must have been beyond the control of the party seeking excuse.

Question 52

A contract for the sale of a concert ticket specifies that the concert will be held at a particular venue. The venue unexpectedly closes, forcing the concert to be canceled. Which doctrine might excuse the seller from performance?

Accepted Answer

Frustration of Purpose

Answer

Impracticability

Answer

Impossibility

Answer

Breach of Contract

Question 53

A company contracts to purchase a specific type of software. Before delivery, the software company is acquired by another company, which decides to discontinue the software. Which doctrine is most likely to apply in this situation?

Accepted Answer

Impossibility

Answer

Impracticability

Answer

Frustration of Purpose

Question 54

Which of the following is NOT a common element of the doctrines of impossibility, frustration of purpose, and impracticability?

Accepted Answer

The event causing the excuse must have been foreseeable at the time the contract was formed.

Answer

The event must make performance substantially more difficult or expensive.

Answer

The event must be beyond the control of the party seeking excuse.