A asks for tenders for the renovation of a houseboat. B makes the successful tender and begins to incur expenditure in anticipation of the renovation job. Unbeknownst to both A and B, the houseboat sank without a trace before they had contracted. Which of the following outcomes is likely?
A) The contract will be void for common mistake.
B) A will be treated as having promised that the houseboat existed, so B can sue for breach of contract.
C) The contract will be voidable for common mistake.
D) None of the options given are correct.

Question

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The Answer of A asks for tenders for the renovation of a houseboat. B makes the successful tender and begins to incur expenditure in anticipation of the renovation job. Unbeknownst to both A and B, the houseboat sank without a trace before they had contracted. Which of the following outcomes is likely?
A) The contract will be void for common mistake.
B) A will be treated as having promised that the houseboat existed, so B can sue for breach of contract.
C) The contract will be voidable for common mistake.
D) None of the options given are correct.

A Asks for Tenders for the Renovation of a Houseboat