Defenses/Excuses: impossibility; impracticability; mistake

Question 1

Impossibility

Answer 1

objectively, nobody could perform

ex: subject-matter of contract was destroyed; performance becomes illegal

Question 2

Impracticability

Answer 2

due to unforeseen circumstances, performance, though possible, has now become too difficult

• too unfair to make someone perform
  Ex: too expensive (requires drastic change in cost; some fluctuation in market is foreseeable)

Question 3

Unilateral Mistake

Answer 3

1 party
- Not a defense to performance, UNLESS the other party knew of the mistake

Question 4

Mutual Mistake

Answer 4

if BOTH parties were mistaken about a basic assumption of the contract, mutual mistake is ALWAYS A DEFENSE
- Remedy is usually recession