CIPS Exam L5M3 Topic 1 Question 29 Discussion

Actual exam question for CIPS's L5M3 exam

Question #: 29
Topic #: 1

[All L5M3 Questions]

If a party is to 'repudiate' a contract, what does this mean?

Athe party is cancelling the contract as it is no longer needed

Bthe party is using the break-clause to end the contract

Cthe party indicates they no longer intend to fulfil their contractual obligations, usually in response to a breach

Dthe party gives notice that they anticipate that they will not be able to fulfil their future obligations

Show Suggested Answer

Suggested Answer: C

The correct answer is: 'damages attempt to position the innocent party in the position that they would have been had the contract been performed as expected'. This is a quote from p. 121 Option1 is incorrect as unliquidated damages aren't stated in a contract. Option 2 is incorrect because liquidated damages are an assessment of damages before a breach. Option 4 is incorrect because not all breaches are caused by errors (they can be caused by negligence or the offending party withholding something).

by Ronny at May 30, 2024, 09:05 AM

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Nobuko

1 months ago

Option C it is! Repudiation, the legal way to say 'Hey, I changed my mind. Bye-bye, contract!'

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Tyisha

4 days ago

User 2: Option C - they indicate they no longer intend to fulfil their obligations.

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Victor

5 days ago

User 1: So, what does it mean if a party 'repudiates' a contract?

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Francoise

2 months ago

Ah, the old 'I don't wanna do this anymore' clause. Option C is the winner, folks!

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Paz

5 days ago

User 3: Yeah, that's right. It's usually in response to a breach.

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Nohemi

10 days ago

User 2: No, it's when the party indicates they no longer intend to fulfil their contractual obligations.

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Trina

26 days ago

User 1: I think it means the party is cancelling the contract as it is no longer needed.

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Alaine

2 months ago

Hmm, I always thought 'repudiate' just meant 'to reject or deny.' Looks like Option C is the legal way to say it.

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Theron

7 days ago

So, it's like saying they won't be able to keep their end of the deal.

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Deeann

9 days ago

It means the party indicates they no longer intend to fulfil their contractual obligations, usually in response to a breach.

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Lashawna

25 days ago

Option C is the legal way to say it.

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Shizue

30 days ago

Yes, Option C is the legal way to say it.

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Sina

1 months ago

I always thought 'repudiate' just meant 'to reject or deny.'

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Leontine

2 months ago

I always thought 'repudiate' just meant 'to reject or deny.'

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Laurene

2 months ago

Repudiation? Sounds like my ex-girlfriend after I forgot our anniversary. Option C is the way to go here.

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Destiny

17 days ago

Exactly, it's like saying 'I'm out' in a legal way.

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Amie

20 days ago

It's like breaking up with a contract, right?

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Lindsey

21 days ago

Yeah, repudiation is like saying you're not going to fulfill your part of the deal.

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Destiny

30 days ago

I agree, option C is the correct answer.

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Dewitt

2 months ago

I agree with Angelica, 'repudiate' is when the party gives notice that they anticipate that they will not be able to fulfil their future obligations.

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Angelica

3 months ago

I believe 'repudiate' means the party indicates they no longer intend to fulfil their contractual obligations, usually in response to a breach.

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Shelia

3 months ago

I think 'repudiate' means the party is cancelling the contract as it is no longer needed.

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