Question

Karan and Arjun had entered into a contract where Karan was to supply 50,000 phones to Arjun within 2 months from the date of signing of contract. Karan was to procure the phones from China and deliver the same to Arjun. The rate of the phone was Rs. 5000/- a piece (inclusive of all taxes and duties). At the time of the execution of the contract, the duty was at 5% (five percent). Immediately after the execution of the Agreement, India had increased the duties to 1000% (one thousand percent). Therefore, Karan was finding it difficult to sell the phones at the price agreed earlier. In the circumstances, kindly advice:

a. How can Karan discharge such a contract?

Answer 1

Explanation:

Karan should reason with Arjun. He can say that the prices agreed upon at the time of contract are now changed so the contract is no longer valid. BTW English is not the right subject under which this question should be posted. And if this is a real-life situation, Karan should consult a legal expert and not Brainly. Have a nice day!