Question

Hotcup contracts with Ivor to hire him his reception suite and to provide the catering for 500
guests for the wedding of Ivor’s daughter Jane to Kelson, which is to be held on the afternoon of
1 May. Ivor makes a pre-payment of Rs. 50,000 and agrees to pay the balance of Rs. 2 Lakhs on
the morning of the wedding. On 25 April, by which time Hotcup has made the wedding cake and
procured supplies of beverages to be served at the wedding but has not prepared any of the food
for the reception. Kelson is very seriously injured in a road accident and admitted to the hospital,
where he lies in a coma state. Ivor telephones this news to Hotcup on the same day and tells him
that the wedding is called off. Hotcup replies: ‘That’s your business you are paying me to put on a
reception and so far, as I’m concerned the show goes on’. Hotcup prepares the food and makes all
the other arrangements for the reception, but no guests come.
In the above-stated situation answer the following questions:
(a) Is Ivor entitled to the recover the Rs. 50,000, amount paid by him to Hotcup as an advance?
(b) Is Hotcup entitled to claim the Rs. 2 Lakhs, or any other sum?

Answer 1

Answer:

1-Yes

2-he has to claim RS.2 Lakhs

Explanation:

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