Lisa Goldstein reserved space for a marriage ceremony in a building owned by Orensanz Events, LLC, in New York City. The rental agreement provided that on cancellation of the event “for any reason beyond Owner’s control,” the client’s sole remedy was another date for the event or a refund.

Shortly before the wedding, the New York City Department of Buildings found Orensanz’s building to be structurally unstable and ordered it vacated. The owner closed it and told Goldstein to find another venue. She filed a suit in a New York state court against Orensanz for breach of contract, arguing that the city’s order had been for a cause within the defendant’s control.

1. Is the owner of a commercial building ethically obligated to keep it structurally sound? Apply the IDDR approach in the context of the Goldstein case to answer this question.

2. Is a contracting party ethically obligated to “relax” the terms of the deal if the other party encounters “trouble” in performing them? Discuss.