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Legal Concepts3Copyright © 2013 Pearson Education, Inc.13) If the builder breaches a construction contract either before or during construction, the ownercan recover the increased cost above the contract price that he or she has to pay to have the workcompleted by another contractor.

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Case 1: Paul (North Carolina) sues Silas (North Carolina) for breach of contract in North Carolina federal court. Silas files a motion to dismiss for lack of subject matter jurisdiction, which is denied. Silas ultimately wins a jury verdict. Paul appeals for lack of subject matter jurisdiction, but the appeal fails.Case 2: Upset by the verdict, Paul sues Silas again in North Carolina state court. Silas files a motion to dismiss the claim as being precluded.Was the court in case #1 a court of competent jurisdiction?A.Yes.B.No.

Harry Potter (Vermont) was alternating between playing oculus quest and the valve index virtuality headsets while flying on his broom. He got into an accident with Draco Malfoy (New Hampshire), who was out flying on an experimental broomstick. When they collided, the oculus quest began leaking out acid which combined with magical properties in Draco's broom stick to set it on fire and temporarily deprive Draco of his magical powers; fortunately, Draco was wearing a parachute and was able to bail out. As soon as he landed, he contacted his lawyers Crabbe and Goyle, and sued Harry for negligence, asserting $100,000 in damages. Harry impleaded Weasley Electronic Repairs, Inc., which has its principal place of business, and is incorporated in, New Hampshire, under Rule 14. Harry claimed that in repairing his virtual reality headsets, Weasley Electronic Repairs inserted acid into them and sought $50,000 in damages. Weasley Electronic Repairs filed a motion to dismiss Harry's impleader claim. True or false, 1367(b) precludes supplemental jurisdiction over the impleader claim?A.TrueB.False

Hercules was working at the Underworld corporation when his supervisor Hades fired him because he was too old. He sued for $1,000 in small claims court, and alleged that there was a policy of firing workers over 60. The Underworld corporation instructed its attorney to only spend 2 hours on the case. Its lawyer complied and filed only a 3-page response to the motion for summary judgment, which the court granted. The court specifically found that there was a policy of firing workers over 60. A year later, Mulan sued the Underworld corporation for $150,000 for age discrimination and alleged a policy of firing workers over 60. When the Underworld corporation argued there was no such policy, Mulan argued it was issue precluded. True or false, the court in lawsuit two will likely apply issue preclusion?A.TrueB.False

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