Question

Discharge of a contract due to material alteration falls under
• Remission
• Operation of law
• Substituted agreement
• Novation

Answer 1

‘Discharge of a contract’ due to ‘material alteration falls’ under Operation of law.

Explanation:

• A material alteration that is made in written form by one party without the ‘consent of the other party’ would make the contract void.  

• The party can discharge the contract if the other party makes any changes in the contract by altering or changing the price or by forging the signature or any other term without the consent of the other party.  

• The discharge of the contract is the same as the canceling of the contract.

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Answer 2

c) substituted agreement

Explanation:

• Discharging a contract means ending it. Thus there are as several forms of discharge since there are various ways to terminate a "contractual obligation". "Discharge of a contract" applies to the way it ends up. When, with the consent of all the parties, a material change/alteration is made in a signed contract, the original contract is "discharged" by modification & a new contract takes effect. This latter deal ends the former deal
• A "substituted contract" is an arrangement between parties involved in an earlier contract, it substitutes the initial contract & discharges the terms thereof. A "substituted contract" is an arrangement between parties involved in a preceding contract. This leads to an impact which makes the original contract unenforceable unless there is a clear agreement which states otherwise in place.

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