I really don't see why a photocopied contract would not be accepted by a court. Sure, the "best evidence" rule applies, but if the court accepts the photocopied contract as the embodiment of the agreement between the parties (and this would be on the basis of evidence put before the court), there is no reason why the matter could not proceed. Remember, if it's a photocopy it is effectively a photograph of the original, and if there is no dispute as to the existence of the original of which the photocopy is a true and accurate copy there is no real problem.