Question

Section 56 of the Indian Contract Act, 1872, deals with the doctrine of frustration. Under this provision, what is the legal effect when the performance of a contract becomes impossible due to subsequent events?

A The contract remains valid but the parties are excused from performance
B The contract is void ab initio (void from its inception)
C The contract becomes voidable at the option of the innocent party
D The contract continues with modified terms as per court's direction
E The contract is suspended pending removal of the impossibility
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