The Grand Performance Hall is in the process of remodeling and is scheduled to open for business after being closed for 50 years.As part of the remodeling,it is installing a new sound system.The sound system is to be installed by Sound Systems,Inc.on or before April 10.Opening night of the hall is May 1.The contract states that "time is of the essence" because of the opening-night deadline.Sound Systems has some financial difficulties and doesn't deliver the system until April 20.Grand Hall refuses to accept it,and Sound Systems sues.What result?
A) Grand Hall wins; the contract date was strictly enforceable.
B) Sound Systems wins; the contract was substantially performed.
C) Grand Hall wins; there was commercial frustration.
D) Sound Systems wins; there was a true impossibility.

Question

Quizplus · Accepted Answer

The phrase "time is of the essence" indicates that timely performance of the contract is crucial, and the deadline of April 10 was strictly enforceable. Sound Systems' delivery of the sound system 10 days after the deadline constituted a breach of contract, and Grand Hall was entitled to refuse it. Therefore, Grand Hall would win the lawsuit against Sound Systems.

The Grand Performance Hall Is in the Process of Remodeling