Frustration in Law
Frustration is fourth way a contract may be discharged. We define as a Frustration when an unforeseen event which not the fault of neither parties changes the conditions of the contract as such they are very different from the occurrence of the contract made.
To clearly examine if situation is frustration, we determine by viewing the types of frustration contracts as the doctrine. The discharge with frustration can be made when the subject matter was destroyed accidentally, take Taylor V Caldwell (1863) as an example. The leased music hall was accidentally destroyed by fire before the day of performance. Music hall was the subject in this contract.
In the personal service contract, contract may also be frustrated when the person become incapacity to perform his duty. Either the person has passed away or became mentally disabled. The claimant in Condor V Baron Knights (1966) suffered from a mental breakdown which was diagnosed by the doctor. Hence, he could not bring a claim for wrongful dismissal as his medical condition made him impossible to perform his contractual obligations.
It could be the performance has turn out to be impossible or the nature of the contractual obligations has becomes significantly different from what was agreed.
One of the cases is when there is unexpected government interference where contract becomes illegal to perform. For the case of .On 23rd September orders in council mad Poland an enemy territory, which make it illegal for the English company to trade their manufactured textile machinery with the polish company. In this instance, contract is no longer possible to proceed because of the supervening illegality.
Or the basis of contract was cancelled /postponed due to no fault of any parties. Nicholl and Knight V Ashton, Eldridge & Co (1901) have contractually agreed to ship the cotton seed. But the ship has spoilt and was in for repairs when the contract was due to be performed. This contract was frustrated because it was
To clearly examine if situation is frustration, we determine by viewing the types of frustration contracts as the doctrine. The discharge with frustration can be made when the subject matter was destroyed accidentally, take Taylor V Caldwell (1863) as an example. The leased music hall was accidentally destroyed by fire before the day of performance. Music hall was the subject in this contract.
In the personal service contract, contract may also be frustrated when the person become incapacity to perform his duty. Either the person has passed away or became mentally disabled. The claimant in Condor V Baron Knights (1966) suffered from a mental breakdown which was diagnosed by the doctor. Hence, he could not bring a claim for wrongful dismissal as his medical condition made him impossible to perform his contractual obligations.
It could be the performance has turn out to be impossible or the nature of the contractual obligations has becomes significantly different from what was agreed.
One of the cases is when there is unexpected government interference where contract becomes illegal to perform. For the case of .On 23rd September orders in council mad Poland an enemy territory, which make it illegal for the English company to trade their manufactured textile machinery with the polish company. In this instance, contract is no longer possible to proceed because of the supervening illegality.
Or the basis of contract was cancelled /postponed due to no fault of any parties. Nicholl and Knight V Ashton, Eldridge & Co (1901) have contractually agreed to ship the cotton seed. But the ship has spoilt and was in for repairs when the contract was due to be performed. This contract was frustrated because it was