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All Sugar Co Has Decided to Expand Its Operations and Import

Question 1

Multiple Choice

All Sugar Co has decided to expand its operations and import cane sugar from Cuba. It has chartered five ships and plans to arrange for twenty shipments per month from Havana to Bristol. Blucose Industrial Sugar Co agrees to purchase 5,000 tons of cane sugar from All Sugar. Blucose needs the sugar to fulfil a large order for processed glucose for Clairfield Industries. Assuming that the parties have made no express provision in their contract to cover the following eventualities, in which of the following cases has the contract between All Sugar and Blucose been frustrated?


A) Mid-ocean, the ship is caught in a storm and the holding deck is flooded with water. The shipment is totally destroyed.
B) While the shipment is in transit, Blucose's processing plant catches fire and burns down. Blucose has no other facilities to process the sugar for Clairfield.
C) Unknown to both parties, the British Parliament had passed an import ban on all products from Cuba in 1999. The ship is prohibited from unloading its shipment in the port of Bristol by British customs officers.
D) None of the above.

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