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Return to JC Smith's The Law of Contract, 3e Student Resources
Chapter 12 End of Chapter Questions
Interpretation
Quiz Content
*
not completed
.
In a contract between
A
and
B
, it is stated that payment must be made 'at the end of the financial year'. How would a court interpret the term?
Find the meaning against the relevant background to discover what the parties intended 'at the end of the financial year' to mean, excluding options where the parties have given a meaning to 'financial year' that departs from any normal usage.
correct
incorrect
Look to a dictionary for the meaning of 'financial year'.
correct
incorrect
Find the meaning against the relevant background to discover what the parties intended 'at the end of the financial year' to mean, even if this means attributing a meaning to the words that a third party would not understand the words to mean without further background to the contract.
correct
incorrect
None of the options given is correct.
correct
incorrect
*
not completed
.
Which of the following is the best description of recent developments in the case law?
There has been no move away from Lord Hoffmann's principles in
ICS
.
correct
incorrect
Lord Hoffmann's principles in
ICS
are now bad law.
correct
incorrect
There is an increasing emphasis on interpreting the language used by the parties.
correct
incorrect
None of the options given is correct.
correct
incorrect
*
not completed
.
What limit is there to the process of interpretation that does not exist where the claim is for rectification?
The court cannot do violence to language by making it yield more business common sense.
correct
incorrect
Evidence of prior negotiations is not admissible.
correct
incorrect
The court cannot conclude that the parties used the wrong words.
correct
incorrect
All of the options given are correct.
correct
incorrect
*
not completed
.
X
and
Y
contract for the sale of
X
's flat. The contract states that no pets are allowed in the building.
X
believes, and tells
Y,
that this simply means pets are only not allowed if they are not kept in cages.
Y
brings his pet snake (kept in a cage) when he moves into the property.
X
claims that this is a breach of contract. Does
Y
have a defence?
Yes, post-contractual conduct altered the interpretation of the contract.
correct
incorrect
Yes,
X
can be estopped from claiming breach.
correct
incorrect
No, post-contractual conduct is excluded from the factual matrix.
correct
incorrect
No, although there is instead a claim for misrepresentation.
correct
incorrect
*
not completed
.
Consistent with the decision in
Cherry Tree
, which of the following documents would most likely receive a more restrictive interpretation by the court?
A contract of sale of a car between
A
and
B
correct
incorrect
An injunction
correct
incorrect
A merger between two local businesses
correct
incorrect
A covenant not to sue
X
for breach of an agreement
correct
incorrect
*
not completed
.
How might a third party prevent himself from being prejudiced by an interpretation of a contract based upon a wide factual matrix that is not clear from the face of the document?
Inquire as to the relevant background
correct
incorrect
Argue that the contract is registrable or a public document
correct
incorrect
Estoppel
correct
incorrect
All of the options given are correct
correct
incorrect
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