Answer: A - A material breach is a large violation of a contract agreement. It is one large enough to trigger actions such as termination of the project, a penalty fee or legal action. We don’t believe paying late by a week would be a material breach, so the only other option that fits. Using a material other than one agreed could be a major violation of the contract.
Key Take Away: A material breach must result in penalties. This should be agreed early in the contracting process and reviewed with lawyers.