123 Co. agrees to purchase a tract of land along the Henday for development from Pete, an old farmer. The agreement stated that 123 Co. would pay $5,000,000 on September 1, 2020 in exchange for Pete transferring the land. The contract contained the following condition: This sale is conditional upon Pete obtaining approval from the City of Edmonton to subdivide the land into three separate parcels as described in the enclosed plan of subdivision. On September 1, Pete called 123 Co. and explained that he could not obtain subdivision approval from the City. Which of the following is most likely TRUE?
a. Since the condition was a true condition precedent, Pete cannot be held liable even if he made no effort to obtain subdivision approval. cross out
b. Since the condition was a condition subsequent, Pete has no obligation to apply for subdivision approval from the City. cross out
c. Pete is liable for breach of a subsidiary obligation if he did not make any attempt to secure subdivision. cross out
d. This condition is really an option to terminate the agreement. cross out
e. The result in this case will depend upon whether or not