Which of the Following Events Would Have the Best Chance

question 30

Multiple Choice

Which of the following events would have the best chance of excusing performance of a contract based on commercial impracticability?

• A)The price of a raw material increases slightly so that the contract will not be as profitable.
• B)An unforeseeable trade embargo causes prices to triple.
• C)The promisor of personal services dies.
• D)The subject matter of the contract is destroyed.

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Definitions:

Conventional

Traditional, typical, or standard practices, methods, or techniques.

Marketing Channel

A set of practices or activities necessary to transfer the ownership of goods, and to move goods, from the point of production to the point of consumption.

Cooperative

An organization owned and operated for the benefit of those using its services, where members work together for a common goal, sharing in decisions and profits.

Credible Commitments

Promises or assurances that are viewed as reliable because they are backed by actions demonstrating the intent and ability to fulfill them.