Cleo Entered into a Contract with Harvey in June to Redecorate

question 6

Multiple Choice

Cleo entered into a contract with Harvey in June to redecorate his apartment before Christmas. However, in the middle of October, she informed him that she would not be able to do his job because she had been offered a big contract in Japan that would take her away until spring. Which of the following is true with respect to this situation?

• A) The most likely remedy would be for the court to award specific performance to make her do the job.
• B) Harvey must wait until Christmas to see if Cleo actually performs before he can take legal action.
• C) Cleo has repudiated the contract and Harvey can take legal action immediately.
• D) Their contract has been frustrated by circumstances outside their original contemplation, and thus they are excused from their previous obligations.
• E) Cleo could claim quantum meruit for any work she had done so far and that would be the end of the matter.

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