McDougal Contractors made a contract with Rekowski to build an apartment house for a specific price. A number of serious apartment house fires broke out in the city, and an ordinance was adopted by the city council increasing the fire precautions that had to be taken in the construction of a new building. Compliance with these new requirements would make the construction of the apartment house for Rekowski more expensive than McDougal had originally contemplated. Is McDougal discharged from the contract to build the apartment house?

Need a paper written? Our academic experts can create an original essay on any subject for ~~$13.00~~ $11/page Learn More

The issue of the current case is whether McDougal Contractors has sufficient basis for discharging the contract to build the apartment house based on the impossibility of performance. Due to the additional fire precautions during construction, the initial price of the house was increased. This change may potentially lead to contract discharge based on the impossibility of performance or partial performance. Nevertheless, the new law does not prevent the company from construction but only increases the associated costs. Therefore, McDougal Contractors is not discharged from the contract since an increased construction cost is not a sufficient basis for the impossibility of performance.

The current contract is associated with impracticability or frustration of performance for McDougal Contractors due to the less practical conditions of the deal. To claim the contract discharge based on the impossibility of performance, the company needs to prove that it is physically unable to provide the specified services. For instance, if the law had prohibited the construction of new buildings in the area due to increased fire risks, the company would have been unable to build the house.

However, the regulation only concerned additional precautions, which McDougal Contractors, most likely, could satisfy. In other words, this inconvenience increased the associated costs but did not make construction impossible. From these considerations, McDougal Contractors cannot discharge the contract on the basis of the impossibility of performance. Depending on the degree of impracticability, the suit might be disputable. However, given the conditions of the deal, McDougal does not have sufficient rationale to discharge the contract.

Rate the answer:

Answer by Academic.tip's expert

An answer to this question is provided by one of our experts who specializes in law. Let us know how much you liked it and give it a rating.

Cite this page

Select a citation style:

References

Academic.Tips. (2023) 'McDougal Contractors made a contract with Rekowski to build an apartment house for a specific price. A number of serious apartment house fires broke out in the city, and an ordinance was adopted by the city council increasing the fire precautions that had to be taken in the construction of a new building. Compliance with these new requirements would make the construction of the apartment house for Rekowski more expensive than McDougal had originally contemplated. Is McDougal discharged from the contract to build the apartment house'. 20 January.

Reference

Academic.Tips. (2023, January 20). McDougal Contractors made a contract with Rekowski to build an apartment house for a specific price. A number of serious apartment house fires broke out in the city, and an ordinance was adopted by the city council increasing the fire precautions that had to be taken in the construction of a new building. Compliance with these new requirements would make the construction of the apartment house for Rekowski more expensive than McDougal had originally contemplated. Is McDougal discharged from the contract to build the apartment house? https://academic.tips/question/mcdougal-contractors-made-a-contract-with-rekowski-to-build-an-apartment-house-for-a-specific-price-a-number-of-serious-apartment-house-fires-broke-out-in-the-city-and-an-ordinance-was-adopted-by-th/

References

Academic.Tips. 2023. "McDougal Contractors made a contract with Rekowski to build an apartment house for a specific price. A number of serious apartment house fires broke out in the city, and an ordinance was adopted by the city council increasing the fire precautions that had to be taken in the construction of a new building. Compliance with these new requirements would make the construction of the apartment house for Rekowski more expensive than McDougal had originally contemplated. Is McDougal discharged from the contract to build the apartment house?" January 20, 2023. https://academic.tips/question/mcdougal-contractors-made-a-contract-with-rekowski-to-build-an-apartment-house-for-a-specific-price-a-number-of-serious-apartment-house-fires-broke-out-in-the-city-and-an-ordinance-was-adopted-by-th/.

1. Academic.Tips. "McDougal Contractors made a contract with Rekowski to build an apartment house for a specific price. A number of serious apartment house fires broke out in the city, and an ordinance was adopted by the city council increasing the fire precautions that had to be taken in the construction of a new building. Compliance with these new requirements would make the construction of the apartment house for Rekowski more expensive than McDougal had originally contemplated. Is McDougal discharged from the contract to build the apartment house?" January 20, 2023. https://academic.tips/question/mcdougal-contractors-made-a-contract-with-rekowski-to-build-an-apartment-house-for-a-specific-price-a-number-of-serious-apartment-house-fires-broke-out-in-the-city-and-an-ordinance-was-adopted-by-th/.

Bibliography

Academic.Tips. "McDougal Contractors made a contract with Rekowski to build an apartment house for a specific price. A number of serious apartment house fires broke out in the city, and an ordinance was adopted by the city council increasing the fire precautions that had to be taken in the construction of a new building. Compliance with these new requirements would make the construction of the apartment house for Rekowski more expensive than McDougal had originally contemplated. Is McDougal discharged from the contract to build the apartment house?" January 20, 2023. https://academic.tips/question/mcdougal-contractors-made-a-contract-with-rekowski-to-build-an-apartment-house-for-a-specific-price-a-number-of-serious-apartment-house-fires-broke-out-in-the-city-and-an-ordinance-was-adopted-by-th/.

Work Cited

"McDougal Contractors made a contract with Rekowski to build an apartment house for a specific price. A number of serious apartment house fires broke out in the city, and an ordinance was adopted by the city council increasing the fire precautions that had to be taken in the construction of a new building. Compliance with these new requirements would make the construction of the apartment house for Rekowski more expensive than McDougal had originally contemplated. Is McDougal discharged from the contract to build the apartment house?" Academic.Tips, 20 Jan. 2023, academic.tips/question/mcdougal-contractors-made-a-contract-with-rekowski-to-build-an-apartment-house-for-a-specific-price-a-number-of-serious-apartment-house-fires-broke-out-in-the-city-and-an-ordinance-was-adopted-by-th/.

Copy