Multiple choice

A contract is not frustrated

  1. by commercial impossibility

  2. by imposition of government restriction or order

  3. by destruction of subject matter of contract

  4. by death or incapability of party when contract is of the personal services

Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

A contract may be discharged due to government induced restriction, destruction of subject matter or due to death or incapacity in case of personal services. It is not discharged because the parties to the contract do not find it profitable any more. Thus (1) is the correct answer.