CIPS Exam L5M3 Topic 1 Question 31 Discussion

Actual exam question for CIPS's L5M3 exam

Question #: 31
Topic #: 1

[All L5M3 Questions]

John has signed a document with Larry that says that he will give Larry his car. Both John and Larry are over the age of 18 and are of sound mind. Larry accepts this offer and signs the document. Is this a contract?

Ayes- it has been signed

Byes- both parties consent and have capacity to do so

Cno- there is no consideration

Dno- this document is an invitation to treat

Show Suggested Answer

Suggested Answer: D

'restitution damages cannot be mitigated by the actions of the innocent party' is the untrue state-ment out of these four. The general principle of Restitution Damages is that the innocent party is expected to be proactive in mitigating the consequences of any breach and should not allow costs to spiral out of control. See p. 124

by Candra at Jul 03, 2024, 04:48 AM

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France

6 hours ago

I think it's a contract because both parties consented.

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