Question

which of the following is a basis for discharge by operation of law when performance is still objectively possible but would be extraordinarily injurious or expensive to one party?
multiple choice

• frustration of purpose
• commercial impracticability
• subjective impossibility
• anticipatory repudiation
• substantial performance

Explanation:

To solve this, we analyze each option:

• Frustration of purpose: Occurs when the purpose of the contract is frustrated (e.g., a parade is canceled, making a hotel room for parade - viewing useless), not about expense/injury of performance.
• Commercial impracticability: Applies when performance is still possible but would be extremely injurious or expensive for one party (matches the question's description).
• Subjective impossibility: Is about a party's personal inability to perform, not about objective possibility with extreme expense/injury.
• Anticipatory repudiation: Is when a party indicates they won't perform before the performance is due, not related to expense/injury of performance.
• Substantial performance: Is about performing most of the contract obligations, not about discharge due to extreme expense/injury.

Answer:

B. Commercial impracticability