Which of the Following Is True Regarding the Obligations of the Parties

question 26

Multiple Choice

Which of the following is true regarding the obligations of the parties if leased premises are destroyed through a fire or other disaster not the fault of the landlord?

• A) The lessee must continue paying rent until the premises are either rebuilt or the lease expires; but the landlord has a duty to act with reasonable speed in rebuilding the premises.
• B) The tenant is released from paying rent and the lease is terminated; and unless the landlord could have prevented the disaster, the landlord generally has no duty to restore or repair.
• C) The lessee must continue paying rent, and rebuilding the premises is the responsibility of the tenant if the tenant wishes to do so.
• D) The lessee is excused from further rent payments until the premises are rebuilt, and the landlord has a duty to act with reasonable speed in rebuilding the premises.
• E) The lessee must continue paying half the rent until the premises are either rebuilt or the lease expires; but the landlord has a duty to act with reasonable speed in rebuilding the premises.

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Definitions:

Decision-Making

The cognitive process of selecting a course of action among multiple alternatives to achieve a specific goal.

Risk

The potential for loss or adverse outcomes arising from a variety of factors, including financial, operational, reputational, or external events.

Uncertainty

The state of having limited knowledge where it is impossible to exactly describe existing states or future outcomes.

Intuition

The ability to understand or know something immediately based on one's feelings rather than factual evidence or logical reasoning.