frustration Flashcards
when may a contract be discharged ?
A contract may be deemed to have been discharged where it has been frustrated
when is a contract frustrated ?
When a contract has been frustrated it means that something has happened since the formation of the contract which is altogether outside the control of the parties and which fundamentally undermines the possibility of performing the contract as originally agreed.
when does impossibility arise ?
Impossibility will arise where something essential to the performance of the contract has been destroyed.
what are the facts of the case Taylor v caldwell ?
a music hall, hired for use as a concert venue, was destroyed in a fire six days before the first concert was due to take place. The destruction of the hall rendered the parties unable to perform, thus frustrating the contract.
what are the facts of the case Robinson v davidson
an eminent piano player’s contract to perform a concert was frustrated when she contracted a dangerous illness, which made it impossible for her to play at the concert at all.
what are the facts of the case Krell v Henry ?
a Hotel room was hired specifically because it overlooked the route of King Edwards VII’s planned coronation procession. The procession having been cancelled due to the king’s illness, the contract had deemed to be frustrated.
Although the defendant still had use of the room, the specific purpose of the contract was to watch the procession and the cessation of the procession thus led to its discharge.
what are the facts of the case Fibrosa Spalka Akeyjna v Fairbairn Lawson Combe Barbour
a contract between an english firm and a polish company was deemed frustrated when poland was invaded by the germans.
At common law, it is illegal to contract with citizens of an enemy state, as the contract was now illegal , it deemed to have been frustrated.
what does the court acknowledge in terms of when A contract is frustrated where a change in the law makes any further performance of the contract illegal
The courts acknowledge that “there cannot be default in not doing what the law forbids to be done
what is the test for self induced frustration
The test for this is whether the party had the means of control and opportunity to prevent the frustration from occurring.
what is self induced frustration ?
Doctrine does not operate where the alleged frustrating event is the result of a party’s own deliberate, voluntary or negligent act.
what are the facts of the case Nicholl & knight v ashton Etridge & Co
the unavailability of the ship, the orlando, named in the contract between the parties was held to frustrate the contract
how does a party go about guarding against the risk of frustrating events ?
If a party wishes to guard against the risk of frustrating events, he should make the means of performance a term of the contract. If he does not do so, the contract will likely not be frustrated and he will be bound to find an alternative means of performance