What does the doctrine of unforeseen events allow in agency?

The doctrine of unforeseen events acknowledges that certain unexpected occurrences can significantly impact the execution of contractual obligations within an agency. This principle allows parties involved to adapt their agreements when unforeseen circumstances arise that make it impractical or impossible to fulfill their original duties as initially intended. It recognizes that situations beyond the control of the actors can warrant a reasonable modification or even termination of the contractual obligations.

This doctrine is particularly important in agency relationships, as it provides a mechanism for agents and principals to address and respond to changing circumstances effectively. Unlike a rigid enforcement of original terms, this approach promotes fairness and flexibility, facilitating continued cooperation between the parties despite challenges that may arise unexpectedly.

In contrast, the other options do not align with the purpose of the doctrine: continuing obligations without changes does not account for the reality of unforeseen events; enforcing contracts regardless of circumstances negates the very essence of flexibility that the doctrine promotes; and delegating authority to other agents does not inherently relate to the management of unforeseen events, but rather addresses the distribution of powers within the agency.