In which of the following situations would the contract not be discharged by agreement?
A) Both parties agree to let a new person be substituted into the contract in place of one of the old parties.
B) Both parties to the contract agree to call it off before either one has performed.
C) A condition subsequent that calls for termination of the contract has not been met.
D) The two parties have reached "accord and satisfaction" with regard to terminating the contract.
E) Both parties agree to call off the contract under which one paid the other $5000 for work that has not yet been performed, but the other now promises to return the $5000.

Question

Quizplus · Accepted Answer

A contract is not discharged by agreement if a condition subsequent that calls for termination of the contract has not been met. This means the contract remains in effect because the specific condition that would allow for its termination has not occurred.

In Which of the Following Situations Would the Contract Not