Excuses

Question 1

Impracticability

Answer 1

When something that was unforeseeable makes performance very difficult. (performance becomes illegal, failure or source of supply)

A partial inability to perform = Seller must allocate the available supply among customers in a fair and reasonable way

Question 2

Destruction of identified goods (impossibility

Answer 2

1) Is risk of loss on buyer ? If yes buyer has to pay

2) Is risk of loss on seller and there is total destruction ? = Contract is voided

3) If the goods are just damaged, K is voided. Buyer can still buy goods at reduced promise

Question 3

Frustration of Purpose

Answer 3

If the reason why the contract was entered into ceases to exist, then the parties excused from performance

Question 4

Anticipatory Repudiation occurs when

Answer 4

When one party says they wont perform before performance is due

Question 5

When can a party retract its repudiation

Answer 5

Before

1) Ether side as sued for breach; or

2) Acted in reliance on the repudiation by changing its position

Question 6

In Anticipatory Repudiation The buyer has two options

Answer 6

1) Treat repudiating party in breach and sue for damages

2) ignore repudiation, demand performance, and see what happens

Question 7

Demand adequate for adequate assurance

Answer 7

Reasonable grounds for insecurity about the other sides performance allows a party to demand assurances

In UCC the demand has to be in writing and must allow 30 days (a reasonable time) to respond