Final answer:
Rescission of a contract leads to its cancellation with both parties required to return what they have received. The answer is D, where the buyer must return the delivered airplane, and Papa must return the money paid.
Step-by-step explanation:
When a court orders a rescission in a case involving a breach of contract, like the one mentioned where only one airplane was delivered instead of two, it typically means that the contract is canceled and that any goods or services that were exchanged must be returned to their original owners. In this scenario, the correct answer would be D. The buyer must return the delivered airplane to Papa, and Papa must return any consideration received (e.g., the money) to the buyer.
Rescission is a remedy in contract law that essentially undoes the agreement, restoring the parties to their pre-contractual positions. This is different from other remedies like specific performance (which would force Papa to deliver the second airplane) or damages (which would require Papa to compensate the buyer for not delivering the second airplane). Understanding the different legal remedies available is crucial for anyone dealing with contracts, as it affects how disputes are resolved.
In conclusion, with the remedy of rescission, both parties must go back to the way things were before the contract was formed. This means undoing any performance that has been completed under the contract and returning the parties to their initial status.