OREGON CONSTRUCTION CC B TEST EXAMINATION
QUESTIONS WITH VERIFIED A+ ANSWERS 2026
EDITION.
True or False
Since legal language is often difficult to understand, it is recommended that you consult with a
knowledgeable construction attorney when drafting and/or interpreting these provisions.
True
True or False
Contractors and subcontractors are obligated to perform their contractual duties at all times.
True
True or False
The general contractor also has the duty to provide for overall workplace safety. While both the prime
contract and subcontracts may address this issue, the general contractor has control over the job site
and must maintain safe working conditions.
True
The general contractor, subcontractors and suppliers are held to the generally accepted performance
standards and practices of the industry in the ______ where the work is performed.
geographic
Conditions precedent is a legal term that describes an act of event that must occur before
performance under a contract is required. If the act or event does not occur, then the performance is
_______.
excused
Oregon law permits a buyer to cancel a home solicitation sale contract on _____ notice.
three days'
True or False
Recitals are languages at the beginning of the contract that provide background to the contract, such
as the parties entering into the contract, the contract contents are reasons for the parties' entering
into the contract.
True
True or False
The general contractor on a major project is usually the only contractor in a direct contract
relationship to the owner. (This relationship is called privity of contract).
True
, True or False
The subcontractor ordinarily provides labor and services. The general contractor and subcontractor
enter into a subcontract. The owner is not a party to the subcontract. Therefore. the subcontractor
must look only to the general contractor in the event of a breach. (The subcontractor may, however,
have lien rights).
True
Unless otherwise specified, a contractor has fulfilled a contract when the project is __________.
Substantially complete
Oregon law permits a property owner to cancel any initial contract for construction, improvement or
repair or a residential structure with _______ notice.
one day's
True or False
If the contract qualifies as a home solicitation sale, it must contain certain information about
cancellation rights.
True
True or False
An immaterial breach of contract is a serious violation of the contract. For example contractor refuses
to perform or complete a job or if a n owner refuses to pay for completed or partial jobs, this is
considered a breach of contract. This type of breach may void the contract and will most likely end up
in mitigation.
False
Damages compensate the non-breaching party for economic losses arising from a(n) ______.
breach of contract
__________ are the amount agreed upon by the parties as fair compensation to the non-breaching
party if a breach occurs.
Liquidated or Stated Damages
True or False
Certainly: To recover damages, the non-breaching party must prove the amount with reasonable
mitigation.
False
In a __________ contract, the contractor agrees to complete the project for a predetermined,
specified price.
lump-sum
QUESTIONS WITH VERIFIED A+ ANSWERS 2026
EDITION.
True or False
Since legal language is often difficult to understand, it is recommended that you consult with a
knowledgeable construction attorney when drafting and/or interpreting these provisions.
True
True or False
Contractors and subcontractors are obligated to perform their contractual duties at all times.
True
True or False
The general contractor also has the duty to provide for overall workplace safety. While both the prime
contract and subcontracts may address this issue, the general contractor has control over the job site
and must maintain safe working conditions.
True
The general contractor, subcontractors and suppliers are held to the generally accepted performance
standards and practices of the industry in the ______ where the work is performed.
geographic
Conditions precedent is a legal term that describes an act of event that must occur before
performance under a contract is required. If the act or event does not occur, then the performance is
_______.
excused
Oregon law permits a buyer to cancel a home solicitation sale contract on _____ notice.
three days'
True or False
Recitals are languages at the beginning of the contract that provide background to the contract, such
as the parties entering into the contract, the contract contents are reasons for the parties' entering
into the contract.
True
True or False
The general contractor on a major project is usually the only contractor in a direct contract
relationship to the owner. (This relationship is called privity of contract).
True
, True or False
The subcontractor ordinarily provides labor and services. The general contractor and subcontractor
enter into a subcontract. The owner is not a party to the subcontract. Therefore. the subcontractor
must look only to the general contractor in the event of a breach. (The subcontractor may, however,
have lien rights).
True
Unless otherwise specified, a contractor has fulfilled a contract when the project is __________.
Substantially complete
Oregon law permits a property owner to cancel any initial contract for construction, improvement or
repair or a residential structure with _______ notice.
one day's
True or False
If the contract qualifies as a home solicitation sale, it must contain certain information about
cancellation rights.
True
True or False
An immaterial breach of contract is a serious violation of the contract. For example contractor refuses
to perform or complete a job or if a n owner refuses to pay for completed or partial jobs, this is
considered a breach of contract. This type of breach may void the contract and will most likely end up
in mitigation.
False
Damages compensate the non-breaching party for economic losses arising from a(n) ______.
breach of contract
__________ are the amount agreed upon by the parties as fair compensation to the non-breaching
party if a breach occurs.
Liquidated or Stated Damages
True or False
Certainly: To recover damages, the non-breaching party must prove the amount with reasonable
mitigation.
False
In a __________ contract, the contractor agrees to complete the project for a predetermined,
specified price.
lump-sum
