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8 marksDischarge and Illegality

CAPE Law Unit 2 · 2014 · Paper 2 · Question 4(b)(i)

A supplier in State Gota agrees to supply timber to a hotel company in State Billani, with an option to purchase a timber yard. War erupts between the states and trading is declared illegal under wartime orders in Billani. The hotel company wishes to exercise the option.

Advise Ranna Hotels Ltd of any claims it may have against Drake Building Supplies Ltd.

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Other parts of this question

  1. 4(a)(i)Explain the doctrine of frustration of contract.[4 marks]
  2. 4(a)(ii)Explain the limitations of the doctrine of frustration, using decided cases to illustrate your answer.[6 marks]
  3. 4(b)(ii)How would your advice to Ranna Hotels Ltd differ if its managing director knew of the impending wartime control order when he signed the agreement?[7 marks]

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