Jilly is building a new house on her lot. She invites Phil of Phil's Excavation to bid on the excavation job. Phil observes that the lot next to Jilly's is also under excavation and the soil in that lot is normal and not excessively rocky. Based on the assumption that the soil in Jilly's lot will be similar, he and Jilly agree that the excavation will cost $3,000. When Phil starts digging, he learns there is solid rock under Jilly's lot. Phil says it will cost an extra $2,500 for the excavation work. Jilly agrees just to get the job done but later refuses to pay a dime more than $3,000. If Phil sues, the most likely result would be:

Jilly is building a new house on her lot. She invites Phil of Phil's Excavation to bid on the excavation job. Phil observes that the lot next to Jilly's is also under excavation and the soil in that lot is normal and not excessively rocky. Based on the assumption that the soil in Jilly's lot will be similar, he and Jilly agree that the excavation will cost $3,000. When Phil starts digging, he learns there is solid rock under Jilly's lot. Phil says it will cost an extra $2,500 for the excavation work. Jilly agrees just to get the job done but later refuses to pay a dime more than $3,000. If Phil sues, the most likely result would be:

Jilly is building a new house on her lot. She invites Phil of Phil's Excavation to bid on the excavation job. Phil observes that the lot next to Jilly's is also under excavation and the soil in that lot is normal and not excessively rocky. Based on the assumption that the soil in Jilly's lot will be similar, he and Jilly agree that the excavation will cost $3,000. When Phil starts digging, he learns there is solid rock under Jilly's lot. Phil says it will cost an extra $2,500 for the excavation work. Jilly agrees just to get the job done but later refuses to pay a dime more than $3,000. If Phil sues, the most likely result would be:




a. Jilly wins as Phil was not acting in good faith and just wanted to put Jilly in a situation where she didn't have a choice but to agree to more money.
b. Phil wins as this modification is governed by the UCC and consideration is not required to enforce a modification of the agreement.
c. Phil wins, as the modification was due to unforeseen difficulties.
d. Jilly wins, as Phil was under a preexisting duty to dig the basement.





Answer: C


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