Wednesday, June 10, 2009

Contract Act_Practical Problems_96

A company agreed to supply one thousand blankets to ‘X’ by a particular date. Rupees 10, 000/- were paid as an advance to the company by ‘X’. Before the due date of performance of the contract, the company informed ‘X’, that it would not supply blankets on due date and that he should treat the contract as repudiated. ‘X’ did not accept the repudiation, and kept on demanding the supply till the last date/ due date of performance of the contract. In the meantime, war between India and China broke out, and all the stocks of the company were requisitioned by Government for military purposes. ‘X’ files a suit against the company for damages for breach of contract. Will he succeed? Decide by referring to the provisions of the Indian Contract Act and decided cases.

No comments: