A breach of contract can only occur when which of the following conditions is (are)...

Abreach of contractoccurs when one party fails to fulfill its obligations as specified in the contract. For a breach to be legally recognized, certain conditions must be met:

Key Points:

Contrary to Intent (Item 1):

The breach must contradict the original intent and understanding between the parties when they entered into the contract.

Contrary to Terms and Conditions (Item 2):

The breach must violate specific terms and conditions outlined in the contract.

Excess Costs (Item 3):

While sustaining excess costs can be a consequence of a breach, it is not a necessary condition to prove a breach has occurred. The breach itself is sufficient if it violates the contract's terms or the intent of the agreement.

Conclusion:The correct answer isD. Items 1 and 2because these are the necessary and sufficient conditions to establish a breach of contract.