John contracted to rent a condominium in the U.S. Virgin Islands for the month of September. In
early August, the condominium was destroyed by a hurricane.
The contract contained a clause
that the parties' obligations would be discharged in the event of a natural disaster. In this
situation:
A) This results in an accord and satisfaction under which alternate time in the condominium
must be provided once is it reconstructed.
B) The parties' obligations are not discharged because a hurricane is foreseeable in the Virgin
Islands.
C) This is an enforceable force majeure clause that would discharge the parties.
D) The force majeure clause renders the contract void because it makes the promises illusory.
E) This is an example of the doctrine of commercial impracticability discharging the parties.
C
Business