WhosPayingBUS115H203Fall2023AntonioJohnson

.docx
Antonio Johnson BUS115-H203 Charles Masiak September 13, 2023 Who's Paying Frustration of purpose is a defense that can be invoked when an unforeseeable event occurs that makes it impossible for one party to achieve its purpose in entering the contract. The event must not have been foreseeable at the time the contract was made and must not have been caused by either party. For example, to invoke this defense, it must be shown that the purpose of the contract has been completely or almost completely frustrated. (2023 American Bar association) In this case, there was no way to tell if covid was going to affect society like it did. Commercial impracticability is like impossibility, but it applies when performance becomes extremely difficult or expensive due to an unforeseeable event. The event must not have been foreseeable at the time the contract was made and must not have been caused by either party. Impossibility is a defense that can be invoked when the performance of a contract becomes impossible due to an unforeseeable event that is beyond the control of the parties. The event must be such that it makes the performance of the contract impossible, not just difficult, or expensive . So, it doesn't make the concert impossible, but it hurts the progress to get the money back. I guess you can say that it didn't affect us too much because my company didn't have to dish out money to put the concert all together but just the advertising part. Whether these defenses result in discharge of contractual responsibilities depends on various factors such as whether there was an express or implied force majeure clause in the contract and whether there were alternative means of performance available. It is important to note that these defenses are narrowly construed by courts and are not available in all situations.
As the owner of Big Designs, it's my duty to make that the contract be honored and at the time of the contract; There was no for seeable event happening at the time of the contract. Due to this situation that has transpired, according to the frustration of purpose and commercial; I am owed the money that was agreed. Even though the state has ordered that no public events can happen with more than 10 people, my company is still owed that money. When you break it down, it bowls down to this, it just depends on what all was in the contract. We know that in the contract it states according to the impossibility clause, defense that can be invoked when the performance of a contract becomes impossible due to an unforeseeable event that is beyond the control of the parties. The event must be such that it makes the performance of the contract impossible, not just difficult, or expensive. Now it can still happen, but it will not make any money and that's up to me and my company. Due to this nature, I am still owed money because the concert can still happen, and we have done a ton of work. While it doesn't make any sense to still have the concert, we are still owed money for the work that has been done already. It just depends on the labor cost, time put in, supplies, and how much the 10,000-contract amount was allocated for designing and installing advertisements and billboards. (2023 Justia)
Citations https://www.americanbar.org/groups/construction_industry/publications/under_construction/2020 /summer2020/impossibility-impracticability-frustration-of-purpose-in-the-age-of-covid19/ https://answers.justia.com/question/2020/10/15/how-much-is-a-company-owed-when-they-wer- 801474
Uploaded by Ghost8133 on coursehero.com