DISCHARGE

Question 1

The defense of impracticability Rule

Answer 1

The defense of impracticability is available if: (i) an unforeseen event occurs; (ii) the nonoccurrence of which was a basic assumption on which the contract was based; and (iii) the party seeking discharge is not at fault.

Question 2

Rule for when impracticability does not apply

Answer 2

If a party assumes the risk of an event happening that makes performance impracticable, then the defense of impracticability will not apply.