Case Study Question.

A: Yes. Because in this contract, company a and company b has the order of performance. Because company a as the first performance of the obligations of the party, the company learned that company b's supply quality is not stable after the suspension of performance of contractual obligations, the performance of its uneasy to perform the right of defense. In the defense of insecurity of performance, the party required to provide adequate security, but the security provided by company B is not sufficient (he can not guarantee the quality, only in the quality of substandard repayment of money to the company), which gives party A a right to terminate the contract, so party A has the right to terminate the contract.