The general rule that “for a contract to be discharged by performance, the performance must be precise and exact” was modified by exceptions to mitigate its harshness. Discuss five exceptions to this general rule.

Five exceptions to the general rule that performance must be precise and exact
performance are as follows:

  • Divisible contracts: Some contracts are by their nature divisible and performance of a part thereof entities the performer to payment for work done.
  • Substantial performance: If a party has substantially performed its part of the contract it is entitled to payment for work done whether a contract is substantially performed is a question of fact.
  • Partial performance is accepted; It a party to a contract has expressly or by implication agreed to pay for partial performance the party performing is entitled to payment for work done.
  • Prevented performance: If a party who is ready and willing to perform part of the contact is prevented from doing so by the others fault such a party is entitled to payment on quantum merit
  • Frustration of contract: A contract is frustrated when performance of the obligations become impossible, illegal or commercially useless by reason of extraneous circumstances for which neither party is to blame.
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