Fact Pattern 18-B2 (Questions B11-B12 apply)
Business Computer Solutions Education Service enters into a contract to employ Chandra as an instructor for two years to begin June 1.One month before the term begins,Business Computer is underbid by a competitor and loses a major client,Debt Consolidation Corporation.Business Computer now refuses to hire Chandra.
-Refer to Fact Pattern 18-B2.Business Computer's repudiation of its contract to employ Chandra is most likely
A)a material breach.
B)a minor breach.
C)a condition subsequent.
D)not a breach.

Question

Quizplus · Accepted Answer

Business Computer's refusal to hire Chandra before the term begins is a material breach because it goes to the heart of the contract and deprives Chandra of the benefits of the agreement. The fact that a competitor underbid Business Computer and it lost a client does not excuse the breach.

Fact Pattern 18-B2 (Questions B11-B12 Apply)