Lucian, a well known painter, entered into a contract with Roland, who owned and ran an art gallery, for the supply of paintings on a regular basis. The duration of the contract was three years. The contract contained the following provision:

'It shall be a condition of this contract that Roland shall sell a minimum of two paintings per month throughout the duration of the contract'.

In the first year Roland sold an average of two paintings per month. In the second year of the contract Roland only managed to sell one painting in the first six months of the year, as result Lucian is in serious financial difficulties and will have to sell his home valued at $750,000.

Lucian consequently wrote to Roland stating:

'As you are in breach of a condition of our contract, I hereby exercise my right to terminate our agreement.'

(i) Explain the legal principle governing this type of term in a contract, and whether the court would enforce Lucian's term (10 marks)

(ii) Assume for this part of the question that Lucian did not suffer any loss. Would this make a difference to your answer (5 marks)