Frustration Flashcards
Frustration
Contract frustrated if after it’s creation though no fault of either party something happens which makes contact imposs to perform or radically diff from original bargain
Parafine v Jane 1647
Held was no excuse for not performing
Was unrelisic but remained until Taylor v Caldwell
Taylor v cadwell 1863
Held contract had an implied term that it existed until
Time of performance
Davis contractors v fareham urban district council 1956
Expressed modern test as radical change in obligation test
National carriers v paladins 1981
Felt Taylor and Davis contractor tests merged
Davis v fareham1956
Must be imposs to perform
Mere expense won’t suffice
Johnson v union marine insurance co 1874
Won’t apply if parties foreseen event
Force majeure Clause evidence of this
The super servant two 1990
Can’t be self induced
Examples
Ever widening
It’s the effect that determines frustration than nature of event
I.e illegality fibros
Krell - fundamental contract
Fibros v fairvairn Lawson 1943
Ilegality
War can’t contact with enemy
If total failure of consideration can recover and money paid in advance and no need to make future payments
Krell v henry 1903
Fundamental reason of contract wasn’t going ahead