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The owner of a cinema hall contracts to show a film in that hall in October. An earthquake destroys the…

Under section 56 of the Indian Contract Act, 1872, a contract becomes void when a subsequent event makes the promised act impossible. The earthquake destroyed the venue…

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The owner of a cinema hall contracts to show a film in that hall in October. An earthquake destroys the hall in September, and the contract makes no provision for a substitute venue. What is the effect under the Indian Contract Act, 1872?

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Answer and explanation

Correct answer C

Under section 56 of the Indian Contract Act, 1872, a contract becomes void when a subsequent event makes the promised act impossible. The earthquake destroyed the venue essential to the agreed performance.

Option feedback

Option A

Destruction of the agreed venue makes the stipulated performance impossible.

Option B

The contract calls for a showing at the destroyed hall and provides no substitute venue.

Option C

Section 56 discharges the contract when the supervening event makes the promised performance impossible.

Option D

The contract contains no obligation to rebuild the hall.

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