Exam 18: Performance and Discharge in Traditional E-Contracts

A party who in good faith performs substantially all of the terms of a contract can enforce the contract against the other party.

In most contracts,promises of performance are not expressly conditioned or qualified.

The law allows an innocent party to be discharged when the other party has materially altered a written contract without consent.

Fact Pattern 18-B2 (Questions B11-B12 apply) Business Computer Solutions Education Service enters into a contract to employ Chandra as an instructor for two years to begin June 1.One month before the term begins,Business Computer is underbid by a competitor and loses a major client,Debt Consolidation Corporation.Business Computer now refuses to hire Chandra. -Refer to Fact Pattern 18-B2.Under the circumstances,with respect to damages,Chandra can

A contract will be discharged if supervening circumstances make it impossible to attain the purpose both parties had in mind when they made the contract.

Dharma enters into a contract to manage the operations of Esther's dental office for one year,renewable for subsequent one-year terms.If this contract is discharged like most contracts,it will be

Ed's Electric substantially performs its contract with Forest Hills Apartments,Inc.,to deliver and install an alarm system and parking lot lighting.Forest Hills is entitled to

Nina contracts with Office Suites Corporation to buy a suite in its Prospect Point Tower at a premium for its view of Quay Harbor.Unforeseeably,the town of Quay Harbor changes its zoning law,and Resort Hotels,Inc.,constructs Seaview Resort,blocking what would have been Nina's view.Nina's best argument for a change in the Office Suites contract or its price is

A condition that must be fulfilled before a party's performance can be required is a condition subsequent.

Performance can be accomplished by tender.

Anything less than complete performance is a material breach of contract.

Herb's Hot Dog Vending,Inc.,enters into a contract to pay Idris for a business survey and review of Herb's competitors,which Idris delivers on August 1.Herb's offer,on the same date,to pay Idris is

The most common way to discharge one's contractual duties is by breach of contract.

An occurrence or event that makes performance temporarily impossible operates to discharge the parties' contractual duties.

Franz,the owner and manager of Green's Grocery Store,contracts to buy sixty crates of fresh peaches from Holly,the owner and manager of Ideal Farms.Suppose that Holly dies before she can harvest and deliver the peaches.How does Holly's death affect their contract If Holly does not die,but does not deliver,and Franz suffers a loss,is there any limit to the time within which Franz can file a suit against Holly for breach of contract If so,how might Franz extend this time

Any breach allows the nonbreaching party to cancel the contract.

If a contract condition is not satisfied,the obligations of the parties are suspended.

Fact Pattern 18-B2 (Questions B11-B12 apply) Business Computer Solutions Education Service enters into a contract to employ Chandra as an instructor for two years to begin June 1.One month before the term begins,Business Computer is underbid by a competitor and loses a major client,Debt Consolidation Corporation.Business Computer now refuses to hire Chandra. -Refer to Fact Pattern 18-B2.Business Computer's repudiation of its contract to employ Chandra is most likely

Bernadette enters into a contract to operate a Caramel Coffee franchise,which Caramel Coffee agrees to support as long as Bernadette maintains her business license.Caramel Coffee's duty to perform is

Fact Pattern 18-B1 (Questions B9-B10 apply) Moses sells an apartment building to Noelle with a promise to install a new heating and air conditioning system before September 1.The following February 1,Moses sends Ollie,an HVAC technician,to begin the installation.Noelle orders Ollie to leave and refuses to make further payments to Moses,who files a suit against Noelle. -Refer to Fact Pattern 18-B1.Moses's late attempt to install the ventilation system is most likely