Frustration Flashcards
What is frustration of contract?
If a supervening event beyond the control of the parties has made future performance impossible
What are force majeure clauses?
Allocate the risk of a superveneing event themselves.
Parties define events covered by clause as well as remedies.
Frustration by illegality and whats the main case?
Performance of the contract becomes illegal.
Met water board v Dick, Kerr and Co
Give the 4 grounds of frustration
Illegality
Destruction of subject matter
Unavailability of subject matter
Impossibility
Limits of frustration doctrine: self induced frustration
One party has control over the event that causes failure in obligations
Limits of frustration doc-negligence
Other party must prove D’s neg caused change in parties obligations
Can money paid prior to frustration be recovered?
Law reform, frustrated comtracts se1 (2) .any money paid out prior to fe can be recovered.
.money which fell due to fe does not need to be paid