Elizabeth has entered into a contract to have an air-condition system installed into her house by Air Cool Ltd. at the cost of $20,000. She pays $2000 and the work commences. Consider the rights and liabilities of Elizabeth and Air Cool Ltd. in relation to this contracr if the following alternatives events occur when the work is two thirds complete.

a) Elizabeth house accidentally catch fire and is totally destroyed.

b) the government announced that because of war in Ukraine all able bodied men must report for services and Air Cool Ltd. has no workers to complete the task because they have gone off to war.

c) the firm making the parts which are integral to complete the system goes out of business and there is no other source of supply. Air CoolLtd uses the few remaining parts which it has to complete a system for another customer complete