CIPS Exam L5M3 Topic 1 Question 25 Discussion

Actual exam question for CIPS's L5M3 exam

Question #: 25
Topic #: 1

[All L5M3 Questions]

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?

Aliquidated damages

Blimitation of liability

Ctime is of the essence

DKPIs

Show Suggested Answer

Suggested Answer: B

The correct answers are as follows:

This is arbitration as it involves a panel.

by Stefanie at Apr 25, 2024, 07:10 AM

Limited Time Offer

25%

Off

Get Premium L5M3 Questions as Interactive Web-Based Practice Test or PDF

Contribute your Thoughts:

Submit Cancel

Lenny

1 days ago

Liquidated damages in clause A) could also be important to ensure the supplier meets their obligations.

upvoted 0 times

...

Isaiah

2 days ago

I agree with Shayne, without timely delivery, the production schedule could be disrupted.

upvoted 0 times

...

Shayne

6 days ago

I think clause C) time is of the essence is crucial for the contract.

upvoted 0 times

...