Question

Phil enters into a contract to hire Bob's Building Business to build a warehouse for Phil. The contract specifies that the warehouse should be built with HighQual Bricks. When construction starts, HighQual Bricks cannot provide enough bricks for the warehouse. Bob's Building Business substitutes Big Red Bricks, which are comparable in quality and price to HighQual Bricks. This deviation from the contract
a) discharges Phil from the contract.

b)
has no effect on the contract.

c)
increases Bob's Building Business's duties under the contract.

d)
suspends Bob's Building Business's duty to perform.

Answer 1

Answer:

b). Has no effect on the contract.

Explanation:

The decision to substitute the bricks will not affect the contract.  Although Bob seems to have deviated from the terms of the contract, the deviations are immaterial in the contract implementation.

HighQual Bricks are not available, and the substitutes are of the same price and quality. The decision thus will not harm Phils' warehouse structure in any way. The decision will save time as the project will not stall due to insufficient bricks. However, Bob will not make any further claims as the new bricks are of the price.