Nina contracts with Office Suites Corporation to buy a suite in its Prospect Point Tower at a premium for its view of Quay Harbor.Unforeseeably,the town of Quay Harbor changes its zoning law,and Resort Hotels,Inc.,constructs Seaview Resort,blocking what would have been Nina's view.Nina's best argument for a change in the Office Suites contract or its price is
A)frustration of purpose.
B)objective impossibility of performance.
C)anticipatory repudiation.
D)commercial impracticability.

Question

Quizplus · Accepted Answer

Frustration of purpose occurs when an unforeseen event undermines the fundamental reason for entering into a contract. In this case, Nina entered into the contract to buy the suite based on the premium price for its view of Quay Harbor. However, the change in zoning law and the construction of the Seaview Resort blocked the view, frustrating the purpose of the contract. Nina may argue for a change in the contract terms, such as a reduction in price, based on frustration of purpose.

Nina Contracts with Office Suites Corporation to Buy a Suite