CIPS L5M3 Exam - Topic 1 Question 18 Discussion

Actual exam question for CIPS's L5M3 exam

Question #: 18
Topic #: 1

[All L5M3 Questions]

ABC has a contract with its supplier DEF who delivers pasta to ABC's manufacturing plant. DEF has committed a breach and conflict resolution has taken place. The Court has awarded ABC 'specific performance' damages. What could this involve?

ADEF must pay money to ABC as stated in the liquidated damages clause

BDEF must pay an amount of money as determined by the courts

CDEF must deliver the pasta required by ABC

DDEF must rescind the contract

Show Suggested Answer

Suggested Answer: C

DEF must deliver the pasta required by ABC is the correct answer. Specific performance is when the innocent party is rewarded by receiving what was initially negotiated - in this case the delivery of pasta. It's basically a posh way of saying that the court mandates you to do what the contract says. See p. 129 for information on Specific Performance.

by Loren at Dec 14, 2023, 03:57 AM

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Erick

3 months ago

I thought they could just pay damages instead. Interesting!

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Bong

3 months ago

Nope, it's not about money here, it's about fulfilling the contract.

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Gearldine

3 months ago

Wait, can they really force DEF to deliver? Sounds odd.

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Margurite

4 months ago

Totally agree, option C is the way to go!

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Cordelia

4 months ago

Specific performance means DEF has to deliver the pasta, right?

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Lavera

4 months ago

I feel like we had a practice question about this, and it emphasized that specific performance is about completing the contract, so I lean towards option C.

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Wenona

4 months ago

I'm a bit confused. I thought specific performance was more about monetary compensation, like options A or B, but I guess that’s not the case here?

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Buddy

4 months ago

I remember discussing specific performance in class, and it usually involves the actual delivery of goods, which sounds like option C again.

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Alba

5 months ago

I think specific performance means DEF has to fulfill their original obligation, so maybe it's option C? But I'm not entirely sure.

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Vincent

5 months ago

This seems straightforward to me. Specific performance is when the court orders the breaching party to actually fulfill the terms of the contract, rather than just paying money. So in this case, since the court awarded ABC "specific performance" damages, that means DEF has to deliver the pasta, which is option C.

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Amos

5 months ago

I'm a little confused by this question. The options seem to be focused on monetary damages, but the question is asking about "specific performance" which is a non-monetary remedy. I'll have to review my notes on contract remedies to make sure I understand the difference before answering.

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Olive

5 months ago

Hmm, I'm a bit unsure about this one. The question mentions "specific performance" damages, but I'm not totally clear on what that means in this context. I'll have to think it through carefully to determine the right answer.

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Elden

5 months ago

I think this question is asking about the specific performance remedy, which is when the court orders the breaching party to actually fulfill the terms of the contract. So in this case, it seems like the court is requiring DEF to actually deliver the pasta to ABC, which is option C.

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Nida

5 months ago

Okay, I've got this. Specific performance is a remedy where the court orders the breaching party to actually perform their contractual obligations, rather than just paying damages. So in this case, since the court awarded ABC "specific performance" damages, that means DEF has to actually deliver the pasta to ABC, which is option C.

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Shakira

5 months ago

I think the key here is to focus on the distinction between quantitative and qualitative measures. The question is asking about the nature of outcome measures, so I'll need to carefully consider the differences between those two types of measures.

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Virgilio

5 months ago

I'm a bit confused about the differences; I thought both structures could be temporary or permanent depending on the organization.

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Albina

5 months ago

I'm a bit confused by the options here. I'll have to carefully read through each one to determine which feature best matches the description.

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