A discharge of contract by operation of law occurs when:
A)one of the parties becomes bankrupt.
B)each party discharges the obligation of the other to perform the contract.
C)one of the parties fails to carry out their obligation completely,and the other party accepts this.
D)performance of the contract becomes impossible due to the occurrence of an unforeseen event.

Question

Quizplus · Accepted Answer

When one of the parties becomes bankrupt, the contract is discharged by operation of law because the legal status of the bankrupt party changes, affecting their ability to fulfill contractual obligations.

A Discharge of Contract by Operation of Law Occurs When