Jamie is building a new house on her lot.She invites Earnie of Earnie's Excavation to bid on the excavation job.Earnie observes that the lot next to Jamie's is also under excavation and the soil in that lot is normal and not excessively rocky.Based on the assumption that the soil in Jamie's lot will be similar,he and Jamie agree that the excavation will cost $3,000.When Earnie starts digging,he learns there is solid rock under Jamie's lot.Earnie says it will cost an extra $2,500 for the excavation work.Jamie agrees just to get the job done but later refuses to pay a dime more than $3,000.If Earnie sues,the most likely result would be:

Question

Quizplus · Accepted Answer

In this scenario, Earnie encountered an unforeseen difficulty, which is solid rock under Jamie's lot. As per the doctrine of unforeseen difficulties, if a party faces an unforeseen difficulty while performing a contract, which was not contemplated by the parties at the time of making the contract, the party may be excused from performing the contract. Therefore, Earnie is entitled to the additional payment of $2,500, and he is likely to win if he sues Jamie.

Jamie Is Building a New House on Her Lot