FRUSTRATION Flashcards
Frustration generally
Plaintiff sues over years of unpaid rent – defendant says because of a war, he was forced out of possession of property and unable to benefit from the agreement, refuses to pay rent for period of time he was driven away from property – can plaintiff sue for breach? – Paradine v Jane p.639
Agreement to rent music hall for 4-night concert – unique music hall, its design/functions intrinsic to the entertainment meant to be provided there – hall burns down before contract fulfills/before concert, neither party’s fault – is there frustration? – Taylor v Caldwell p.640
Rental of neon sign for exterior of café, displayed for 60 months – government then implements public lighting restrictions, café’s sign cannot be lit at night – café says they can no longer carry out contract – are they relieved from further payments by frustration? – Claude Neon General Advertising v Sing p.643
Frustration generally
Contract to build 78 houses in 8 months at a fixed price – labour shortage hits (post-war market) – project takes 22 months, not 8 – contractors say contract was frustrated, claim entitlement to quantum meruit sum alongside the reasonable value of services (contract price) – are they entitled to quantum meruit plus contractual price? – Davis Contractors v Fareham p.645
Purchase of 26 building lots, each to be conveyed separately by sellers aware of the intention of the purchaser to develop it – new law says consent from committee must occur for all 26 lots – purchaser says it’s the responsibility of the seller to get the approval, seller says the opposite – both agree no time to get proper approval either way – does frustration apply to land contracts? – Capital Quality Homes v Colwyn Constructions p.650
Plaintiff buys 90 acres land from defendant, intends to subdivide and develop the land – regulations to government amendments are filed after time of purchase and make it impossible to subdivide – is there frustration? – was plaintiff’s intention to subdivide intrinsic to the foundation of the purchase agreement, even if defendant knew of the intention? – Victoria Wood Development v Ondrey p.652
Frustration generally
Deposit for purchase of land, buyer has intention to turn land into condominiums – very soon after, municipality rezoning passes and prevents the planned building on site – can buyer argue frustration and get deposit back? – KBK No. 138 Ventures v Canada Safeway p.654
Easement to build sewer lines across property – requires the party seeking easement to request a rezoning and subdivision application from gov. – will play 50K if unsuccessful – gov. demands a mandatory environmental study that will cost money, which they do not go through with – do they still owe the 50K because unsuccessful? – Kesmat v Indust. Machinery & Canadian Indemnity p.657
A Restatement
Oil tanker ran aground, salvage company hired to clean up, charters a storage tanker – chartered tanker was held in port by government for several days, including after the salvage operation had finished – can owner of tanker who they chartered from claim hiring charges for the entire period, or only as long as contract for salvage operation was meant to last? – frustration by actions of the port authorities? – The Sea Angel p.661
Self-induced frustration
Fishing trawlers need government licences – appellants aware of the law, but could only licences for 3 of its 5 trawlers – one of their trawlers was chartered – chose to license their 3 other trawlers but not the chartered one – claim chartered trawler contract was frustrated – Maritime National Fish v Ocean Trawlers p.668
Anticipating the unforeseeable - force majeure clauses
Agreement to be supplied with 10,000 tons of paper waste per year for 10 years – after 14 months, claims force majeure clause allows repudiation of the agreement because the market for its product had eroded – was unavailable market truly unexpected? – when does force majeure apply? – Atlantic Paper Stock v St Anne-Nackawic p.675