Cover Differential Omission
This trap appears as a wrong-answer choice in 1 active question. Spotting how it is built is the repair: read each example's “why it's attractive” before the “why it's wrong.”
Subject distribution
- Contracts1
Example wrong choices
20924_fabric-cover-damages · CONTRACTS · Choice A$250.
Why it's attractive
The $250 is real, but §2-712(2) says cover differential PLUS incidentals. This choice gives you only one part.
Why it's wrong
The $250 is real, but §2-712(2) says cover differential PLUS incidentals. This choice gives you only one part.
20924_fabric-cover-damages · CONTRACTS · Choice B$4,800.
Why it's attractive
The $4,800 is the correct cover differential, but §2-712(2) adds incidentals ON TOP of that. This choice leaves out the $250.
Why it's wrong
The $4,800 is the correct cover differential, but §2-712(2) adds incidentals ON TOP of that. This choice leaves out the $250.
20924_fabric-cover-damages · CONTRACTS · Choice D$3,500.
Why it's attractive
The stem says Peter had no reason to know about the hotel-chain deal. Consequential damages require the seller to have reason to know at the time of contracting.
Why it's wrong
The stem says Peter had no reason to know about the hotel-chain deal. Consequential damages require the seller to have reason to know at the time of contracting.
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