Multistate Bar Examination Practice Question

The correct answer relies on the legal doctrine of impossibility, which excuses performance under a contract when an unforeseen and uncontrollable event makes performance objectively impossible. Here, a fire destroyed the wedding venue, meaning the venue could not fulfill its obligations through no fault of its own. Importantly, the venue attempted to make restitution by offering a refund, further supporting its claim of impossibility. Other options misapply or misunderstand legal concepts. For instance, the venue is not obligated to have anticipated the fire or pre-arranged contingency plans unless specifically stated in the contract. Similarly, the refund fulfills their obligation to undo the transaction but does not imply further compensation is required without additional contractual provisions.