Great year Tires orders 50 tons of rubber from a Bill, a rubber broker. The broker has a number of rubber plantations that it can deal with but does almost all of its business with Ritchie's Rubber Farm. The delivery of the rubber is due on September 1st. On August 1st, a fire destroys Ritchie's Rubber Farm.
A) Bill's performance is excused due to impossibility of performance.
B) Bill's performance is excused due to commercial impracticality.
C) Bill's performance will not be excused if obtaining rubber from another plantation is reasonable and possible.
D) Bill's performance will not be excused if he can get the rubber from another source even if a higher cost cuts his profit margin.
E) Bill's performance will be excused even if Great year proves that rubber from other plantations is reasonably available.

Question

Quizplus · Accepted Answer

A manufacturer may be discharged from an obligation to make goods for a buyer when the manufacturer's major source of raw materials is unexpectedly interrupted. But if the raw materials are reasonably available from another supplier, the manufacturer may not receive discharge because of impracticability.

Great Year Tires Orders 50 Tons of Rubber from a Bill