Bad Girls (a pop group) contracted to give Ziggy (a promoter) ten performances for £2 million. After five, further performances had to be cancelled because of the government's ban on congregating in large numbers due to the outbreak of a vicious and contagious disease. At that point, Ziggy had made gross profits of £4 million from the sale of tickets, DVD, and CD rights. Bad Girls had only been paid £100,000, the rest of the £2 million being payable on completion of the tenth performance. In their claim for payment under section 1(3) Law Reform (Frustrated Contracts) Act 1943, which of the following statements are false?
A) The court must first identify the value of the benefit conferred on Ziggy.
B) Ziggy can ask the court to take into account his payment of £100,000 and his wasted expenditure.
C) Bad Girls should get half of £2million (the contract price) or half of £4 million (the benefit Ziggy received) .
D) None of the options given is correct.
Correct Answer:
Verified
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