Question: Salty Constructions Pty Ltd entered into a fixed price contract of $500 000 with Al for the construction of 12 beach huts. After the huts

  1. Salty Constructions Pty Ltd entered into a fixed price contract of $500 000 with Al for the construction of 12 beach huts. After the huts have been built, Al refuses to pay Salty because the doors did not properly close.

REQUIRED:

  1. Can Salty succeed in claiming the entire contract price from Al?

TERMINATION BY PERFORMANCE - SUBSTIANTIAL VS PARTIAL PERFORMANCE??

  1. Would the situation be any different if the huts were destroyed by a tsunami?

TERMINATION BY FRUSTRATION

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