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Jesse Makes an Offer to Ike,and Ike Accepts;then the State

Question 38

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Jesse makes an offer to Ike,and Ike accepts;then the state legislature passes a law that makes performance of the contract illegal.What is the effect of the new statute on the contract?


A) The contract is severed;any portions that are legal must still be performed and any portions that have been made illegal must not be performed.
B) The statute has no effect on the contract.
C) The statute acts as a condition on the contract.
D) The statute discharges the obligations of both parties under the contract.

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