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Question
A concert promoter rented a rooftop venue for one night to host a viewing party during a city fireworks show. The venue owner knew the promoter's sole purpose was the fireworks viewing. One week before the event, the city canceled the fireworks show because of wildfire smoke, but the rooftop venue remained safe and available. The promoter refused to pay the balance.
Separately, a food manufacturer contracted to deliver 10,000 jars of sauce to a grocery chain. Before delivery, a government order closed the only lawful source of a required ingredient because of contamination. The manufacturer could obtain a substitute ingredient only by redesigning the product and seeking new regulatory approval. In a third contract, a builder agreed to construct a garage but later discovered that lumber prices had risen 18 percent.
Analyze whether performance is excused in each transaction based on frustration, impossibility, impracticability, or ordinary business risk.