How can a contract be discharged according to Texas law?

Prepare for the Texas Contract Law Exam. Study with engaging multiple choice questions, each with explanations. Get ready to excel in your Texas Contract Law Exam!

A contract can be discharged under Texas law through various means, which include performance of the contractual obligations, mutual agreement of the parties, a breach of the contract, or impossibility of performance.

When parties fulfill their obligations as stipulated in the contract, the contract is discharged through performance. Alternatively, mutual agreement allows parties to both consent to terminate the contract, releasing them from further obligations. In the case of a breach, where one party fails to perform as promised, the non-breaching party may be entitled to terminate the contract and seek damages. Lastly, if an unforeseen event makes it impossible for one or both parties to perform their duties under the contract, the doctrine of impossibility can discharge the contract.

The other options do not encompass the full scope of how a contract can be discharged in Texas, as they either limit the reasons for discharge or suggest an overly narrow interpretation of the law. For example, limiting discharge to only mutual agreement excludes the crucial elements of performance, breach, and impossibility which are recognized under Texas contract law.

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