What are the two (2)tests used to judge whether or not a satisfaction-based condition precedent has been met?
A) the "all facts and circumstances" test and the "good faith" test
B) the "objective standard" test and the "industry custom" test
C) the "reasonable person" test and the "good faith" test
D) the "incidental beneficiary" test and the "personal satisfaction" test
E) the "personal satisfaction" test and the "reasonable person" test

Question

Quizplus · Accepted Answer

The two tests used to judge whether or not a satisfaction-based condition precedent has been met are the "personal satisfaction" test and the "reasonable person" test. The personal satisfaction test applies when the contract involves personal taste, comfort, or judgment. In such cases, the satisfaction of the party whose judgment is involved is generally required. On the other hand, the reasonable person test applies when the satisfaction with the subject matter of the contract can be objectively evaluated. In such cases, the satisfaction of a reasonable person is typically required.

What Are the Two (2)tests Used to Judge Whether or Not