Bacall,a building contractor,bid for and won the tender to construct Bogart's Shopping Centre.Due to rampant,unexpected inflation,she found she would not quite break even on the project and she asked Bogart to renegotiate the price.Bogart pointed out that there was no provision in the contract for that and said,"A deal's a deal."

Question

Quizplus · Accepted Answer

Once the contract has been signed and agreed upon, both parties are bound by its terms. There is no provision for renegotiation in the contract, and therefore Bacall is not entitled to request a renegotiation of the price. She agreed to the terms and must fulfill them, even if it means taking a loss due to unforeseen circumstances such as inflation. Frustration of contract or material alteration of terms do not apply in this scenario, and there is no evidence of unjust enrichment. Thus, Bacall is stuck with the contract and must accept the loss.

Bacall,a Building Contractor,bid for and Won the Tender to Construct