JAMB Commerce 2014 Question 43

Question 43

Law of Contract

Mr. Taiwo entered into a contract to let a car to Mr. Bunmi for his wedding for two days. However, the car had an accident before the first day. Mr. Bunmi attempted to claim damages but failed. This implies the contract was terminated by

  1. A.bankruptcy.
  2. B.frustration.
  3. C.breach.
  4. D.lapse of time.
Show the answer and explanation

Answer: B (frustration.)

Explanation

An event beyond the parties' control made the contract impossible to perform, so it ended by frustration and no damages are due.