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MisconceptionObserved in bank

Damages Equals Liability

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

  • 22578_pool-mixup · CONTRACTS · Choice AThe contract would have resulted in a loss for Timothy.

    Why it's attractive

    Does contract law excuse performance just because the deal is unprofitable? No — this rule doesn't exist.

    Why it's wrong

    Does contract law excuse performance just because the deal is unprofitable? No — this rule doesn't exist.

  • 22578_pool-mixup · CONTRACTS · Choice CTimothy was unsuccessful in collecting payment from the neighboring property owner.

    Why it's attractive

    Timothy's dealings with the neighbor are a separate transaction. They have no legal bearing on the Peter–Timothy contract.

    Why it's wrong

    Timothy's dealings with the neighbor are a separate transaction. They have no legal bearing on the Peter–Timothy contract.

  • 22578_pool-mixup · CONTRACTS · Choice DThere is another contractor who will install the patio and outdoor kitchen for Peter at the same contract price.

    Why it's attractive

    Another contractor's availability goes to damages, not to whether Timothy breached. The question asks about liability, not about how much Peter can recover.

    Why it's wrong

    Another contractor's availability goes to damages, not to whether Timothy breached. The question asks about liability, not about how much Peter can recover.

Practice the questions that use this trap as a distractor and get full Wrong Answer Forensics on submit.

Practice questions using this trap →
Damages Equals Liability — Trap Taxonomy | BarMatrix