Question 1

Which of the following is set down in statute as a liability that exists without any need to prove fault?

Options :

A : Strict liability

B : Contingent liability

C : Current liability

D : Non-current liability

Answer: A

Question 2

A purchase order can become a contract between supplier and purchaser if it is...?

Options :

A : Issued by the buyer

B : Received by the supplier

C : Accepted by the supplier

D : Edited by the supplier

Answer: C

Question 3

Crown Commercial Service signed a four-year framework agreement with three suppliers on providing street lightning services. When the services are needed, the agency holds a mini competition. Eventually, the deal was awarded to Amey Public Services (APS) which was not listed as a supplier on the framework. Is this action compliant with legal requirement?

Options :

A : Yes, because APS tender matched all Crown Commercial Service’s requirement

B : No, because APS tender had not been evaluated before contract award

C : No, because once the framework agreement is set up, no additional suppliers can be added to it

D : Yes, because the intention had been to award the contract to APS in line with the framework agreement

Answer: C

Question 4

In a contract, both buyer and supplier agreed the lead time is 3 days. The contract also requires that any variation must be made in writing. Then the buyer places an order by phone call and requests delivery the next day, but the supplier delivers on the third day since the order. Can buyer refuse to pay as supplier did not deliver per time?

Options :

A : No, the supplier delivers within a reasonable time

B : Yes, late delivery is a force majeure event

C : No, supplier has shortened lead time to 1 day

D : Yes, the supplier has breached the contract

Answer: A

Question 5

Which of the following usually have no legal standing? Select TWO that apply:

Options :

A : Commission

B : Framework agreement

C : Framework arrangement

D : Estimate

E : Service level agreement

Answer: C,D

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