FLK1 · Multiple-choice practice
FLK1 Contract Law — Question 44
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Tom, a professional landscaper, entered into a contract with Green Gardens Ltd. to provide landscaping services for their new commercial property. The contract stipulated that Tom would complete the landscaping work within three months for a total fee of £15,000, with £5,000 to be paid upfront and the remaining £10,000 upon completion. Tom started the work as agreed but experienced significant delays due to unforeseen weather conditions and shortages of materials. As a result, the project extended to five months. Green Gardens Ltd. refused to pay the remaining £10,000, arguing that Tom breached the contract by failing to complete the work on time. Tom believes that he is entitled to the remaining payment despite the delays. Which of the following principles is most relevant in determining whether Tom can recover the remaining £10,000 for his services despite the delays?
Answer and explanation
Correct answer: B. The principle of substantial performance
The principle of substantial performance. Feedback: The principle of substantial performance is relevant in determining whether Tom can recover the remaining £10,000 despite the delays. Under this principle, if a contractor has completed the majority of the contractual obligations and only minor aspects are incomplete or delayed, the contractor may still be entitled to payment, subject to deductions for the incomplete or delayed work. In this scenario, if Tom can demonstrate that he substantially performed the landscaping services despite the delays caused by unforeseen circumstances, he may be entitled to the remaining payment, possibly adjusted for any deficiencies or delays. The other principles are not directly applicable in this context: Frustration: This applies when a contract becomes impossible to perform due to unforeseen events, which is not the case here. Quantum meruit: This applies when there is no contract or the contract is unenforceable, and payment is made for the value of work done. Anticipatory breach: This occurs when one party indicates they will not perform their contractual obligations before the performance is due. Liquidated damages: This refers to a predetermined amount specified in the contract to be paid in case of a breach, which is not mentioned in this scenario. Therefore, the principle of substantial performance is the most relevant in determining Tom’s right to recover the remaining payment for his services.
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