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A company hires an advertising agency to create a marketing campaign for their new product. The contract specifies that the agency will deliver the final campaign materials by a certain date. However, the agency fails to meet the deadline, causing the company to miss out on important marketing opportunities. Can the company terminate the contract and seek damages?

Option: 1

Yes, the company can terminate the contract


Option: 2

Company can not terminate the contract.


Option: 3

Agency have to pay for damages.


Option: 4

Both A and C


Answers (1)

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Company can terminate the contract and can seek damages from the advertising agency. The agency’s failure to deliver the marketing campaign materials on time resulted in financial loss for the company as they missed out on important marketing opportunities. Termination of the contract and seeking damages would be a suitable remedy in this situation. Hence correct option is d.

Posted by

Divya Prakash Singh

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