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Where the tender of performance is rejected by the other partyI. The promisor has to still perform the…

Under Section 38 of the Indian Contract Act, where a valid tender of performance is not accepted, the promisor is not responsible for non-performance and may treat the…

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Where the tender of performance is rejected by the other partyI. The promisor has to still perform the contract but can claim damagesII. The promisor is excused from further performance and is entitled to sue the promisee for breach of contract. Which of the choices given above is/are correct?

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Answer and explanation

Correct answer B

Under Section 38 of the Indian Contract Act, where a valid tender of performance is not accepted, the promisor is not responsible for non-performance and may treat the contract as broken and sue the promisee, so the answer is "II only".

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