Donelle agreed to rent her cottage to Juan for the first two weeks of June.Juan paid Donelle the rent due on May 29 by certified cheque.On the last day in May,a forest fire burned the cottage to the ground.What is the role of the doctrine of frustration with respect to the status of the contract?
A) It applies because Donelle has breached the contract.
B) It is not applicable; performance can be postponed.
C) It applies,as performance is no longer practical.
D) It is not applicable; the settled amount has been paid.

Question

Quizplus · Accepted Answer

The doctrine of frustration applies when an unforeseen event, beyond the control of both parties, renders the contractual obligations impossible to perform. In this case, the destruction of the cottage by a forest fire makes it impossible for Donelle to provide the cottage for Juan's use, thus invoking the doctrine of frustration.

Donelle Agreed to Rent Her Cottage to Juan for the First