Sue and Kevin Kellman signed a contract for the construction of a cabin near Pinetop.In building the $562,000 cabin,the builder discovered that it had to put the vent for the heating system in the area where the hall closet is located.The result was that the Kellman's had a half-closet there instead of a full-length closet that was open to the floor.The Kellmans:
A)need not pay for the cabin because of this material breach.
B)can be compensated under the doctrine of force majeure.
C)can be compensated under the doctrine of commercial impracticability.
D)can be compensated under the doctrine of substantial performance.

Question

Quizplus · Accepted Answer

The doctrine of substantial performance states that if a contractor has made a good faith effort to perform according to the terms of the contract, but there are minor deviations or defects that do not affect the value or functionality of the project, the owner still needs to pay the contract price. In this case, the half-closet instead of a full-length closet is a minor deviation that does not significantly affect the value or usefulness of the cabin. Therefore, the Kellmans are not entitled to refuse payment for the whole cabin but can be compensated for the diminished value caused by the deviation.

Sue and Kevin Kellman Signed a Contract for the Construction