Question:

Principle : When a party to a contract has refused to perform, or disabled himself from performing, his promise in its entirety, the other party shall not put an end to the contract.
Facts : A engaged B on April 12 to enter his service on June 1, but on May 11, A wrote to B that his services would not be needed. On May 22, B joined C for employment.
This question consists of legal principle(s) (hereinafter referred to as ‘principle‘) and facts. Such proposition may or may not be true in the real and legal sense, yet you have to conclusively assume them to be true for the purposes of this section. Principles have to be applied to the given facts to arrive at the most reasonable conclusion. Only one of the alternatives, i.e., (A), (B), (C), or (D) is the most reasonable conclusion. In other words, in answering the following questions, you must not rely on any principle except the principles that are given herein below for every question. Further you must not assume any facts other than those stated in the question. The objective of this section is to test your ability in legal aptitude, study of law, research aptitude and problem solving ability even if the ’most reasonable conclusion‘ arrived at may be absurd or unacceptable for any other reason.

Updated On: Jul 15, 2026
  • B cannot put the contract to an end.
  • B can put the contract to an end.
  • C can put his contract with B to an end.
  • A must pay damages to B.
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The Correct Option is A

Approach Solution - 1

The correct option is (A): B cannot put the contract to an end.
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Approach Solution -2

The principle says that when a party to a contract has refused to perform, or disabled himself from performing, his promise in its entirety, the other party shall not put an end to the contract. A told B on May 11 that his services would not be needed, before the June 1 start date, and B then joined C on May 22. Let's check each option.

  1. Option A: B cannot put the contract to an end: A disabled himself from performing his promise to employ B by telling him, ahead of time, that his services would not be needed. Applying the principle exactly as stated, the OTHER party, here B, is barred from putting an end to the contract in this situation.
  2. Option B: B can put the contract to an end: This is the opposite of what the principle says, the principle expressly denies the other party the power to end the contract when the first party has disabled himself from performing.
  3. Option C: C can put his contract with B to an end: This concerns a completely different relationship, between C and B, which the given principle does not address at all, it only speaks to A and B's original agreement.
  4. Option D: A must pay damages to B: The principle as given only addresses whether the other party may end the contract, it says nothing about a duty to pay damages, so this introduces a consequence the principle never mentions.

Since A disabled himself from performing his promise before the agreed date, the principle bars B from treating the contract as ended.

Therefore, the correct answer is B cannot put the contract to an end.

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Approach Solution -3

Break the principle into its ingredients: identify which party disabled himself from performing his promise, then apply the rule that the OTHER party is barred from ending the contract, and check whether any later conduct by that other party changes this.

  1. B cannot put the contract to an end: A is the party who disabled himself, by declaring on May 11, well before the June 1 start date, that B's services would not be needed. The principle bars the other party, here B, from ending the contract once that happens, so this option matches directly.
  2. B can put the contract to an end: This runs opposite to what the principle states, since it is A who disabled himself from performing, and the rule bars the other party from ending the contract in that situation.
  3. C can put his contract with B to an end: This concerns an entirely different relationship, between C and B, that the given principle does not address at all, it only speaks to the original agreement between A and B.
  4. A must pay damages to B: The principle as given addresses only whether the other party may end the contract, it says nothing about a duty to pay damages, so this brings in a consequence the principle never mentions.

Since A is the party who disabled himself from performing, the rule squarely bars B, the other party, from putting an end to the contract.

Therefore, the correct answer is B cannot put the contract to an end.

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