Question

Poole Contractors makes a contract with Delta Resources to pay $50,000 for the supply of 500 truckloads of sand within a week. Delta Resources delivers the sand two days after the contract was made, and Poole Contractors pays it $50,000 promised in the contract. This is an instance of ________.

Answer 1

Answer:

Strict Performance

Explanation:

Based on the information provided within the question it can be said that this is an instance of Strict Performance. This term refers to when one party must abide buy the exact payment that was agreed upon in a contract because the second party met all the requirements. This is exactly what has happened in this situation since Delta Resources delivered the sand before the deadline, thus meeting all the requirements.