Changed Circumstances: Impracticality Self-Quiz
On May 1st, Howard and College
Painters, Inc. enter into a contract under which College Painters will
paint Howard’s house and Howard will pay the company $10,000. Howard
specifies in the contract that he wants Dutchman brand Grade A light blue
paint used on his house and nothing else. The contract calls for the work
to begin on May 15th and conclude on May 30th. On May 8th, the federal
government bans the use of Dutchman Grade A light blue paint because of
high levels of lead in the paint. When May 15th comes around, the company
does not begin working and Howard sues for breach of contract. Howard
will win:
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On May 1st, Howard and College
Painters, Inc. enter into a contract under which College Painters will
paint Howard’s house and Howard will pay the company $10,000. The
contract calls for the work to begin on May 15th and conclude on May 30th.
On May 8th, Howard’s house is struck by lightning in a storm and
burns down. On May 15th, the company comes to begin work but is unable
to because the house has been destroyed. The company demands to get paid
anyway and Howard refuses. If the company sues Howard for breach, Howard
will win:
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Howard commissions the Lyons
construction company to build him a house. Under the contract, Howard
will pay Lyons $1 million and Lyons will build the house exactly according
to Howard’s specifications. Lyons has completed 75% of the house
when it is struck by lightning during a storm and burns down. Howard demands
that Lyons rebuild the house and Lyons demands to be paid for the work
he has already done before he begins rebuilding. Howard refuses to pay
Lyons anything and sues Lyons for breach. Howard will probably:
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Howard commissions the Lyons
construction company to do extensive repairs on the wiring, plumbing and
shingling of his house. Under the contract, Howard will pay Lyons $100,000
for the repair work. Lyons has completed 75% of the repairs when the house
is struck by lightning during a storm and burns down. Because Lyons never
finished the repairs, Howard refuses to pay Lyons anything. Lyons sues
Howard for breach of contract. Howard will probably:
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Howard commissions the Lyons
construction company to build him a house. Under the contract, Howard
will pay Lyons $1 million and Lyons will build the house exactly according
to Howard’s specifications. One week before Lyons is supposed to
start work, he falls off a scaffolding and is severely injured. After
several months, Lyons recovers and signs a contract to work on a different
house. Lyons contacts Howard and informs him that he will not be able
to build a house for him. If Howard sues Lyons for breach, Howard will
probably:
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Howard commissions the Lyons
construction company to build him a house. Lyons calculates that, between
labor and supply costs, it will cost $700,000 to build the house. Under
the contract, Howard agrees to pay Lyons $1 million and Lyons will build
the house exactly according to Howard’s specifications. One week
before Lyons is supposed to start work, he falls off a scaffolding and
is severely injured. After several months, Lyons recovers. However, by
this time, supply costs have increased to the point where building Howard’s
house will cost $1.2 million. Lyons contacts Howard and informs him that
he will not be able to build a house for him. If Howard sues Lyons for
breach, Howard will probably:
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