1. What is the common law doctrine of frustration?
unforeseeable event that occurs after the contract that brings a contract to end by no
fault of the parties
makes performance impossible/illegal/something very different
comes from davis contractors ltd v fareham – where doctrine comes from
as long as it is not impossible – court reluctant to frustrate
2. What events can frustrate a contract?
Destruction of subject matter – taylor v Caldwell
Death [cutter v powell] /being pulled to military services [morgan]
Failure of source [Howell v Coupland]
Government intervention – polish v English company case [fibrosa], Tamplin steamship – gov
intervention if it lasts long can frustrate contract
common purpose not available – krell v henry contrast with herne bay steamboat v hutton
Method of performance – bar is high [cases about canal]
unavailability of subject matter – will frustrate, depending on duration of unavailable – bp
v hunt [oil that bp had extracted from hunt], strike might frustrate contract [nema],
Jackson case [in terms of duration]
Need to look at nature of duration – look at cases and see which one it matches before
making assumption
If situation falls into more than one category – then analyse both situations
2. Are there any limitations on the doctrine of frustration?
Impracticality
imprudent bargains – taylor v caldwell, bad deal was not enough
Foreseeable when contract made
By normal intelligent people
Was foreseen by parties but didn’t place it in contract – Walton Harvey v walker
Express provision in contract
Self-induced frustration
Parties cause event that render contract impossible
Parties did something so that they are unavailable to do obligation – super servant 2,
maritime national fish ltd v ocean trawlers
force majeure clause
leases – only because of national carriers’ ltd case – limitation if duration not long enough
3. What is the effect of frustration on a contract at common law? Less relevant
Under common law, if received small amount of consideration concerning
performance then could not recover anything
Chandler – losses lay where they fell
fibrosa
Whincup
unforeseeable event that occurs after the contract that brings a contract to end by no
fault of the parties
makes performance impossible/illegal/something very different
comes from davis contractors ltd v fareham – where doctrine comes from
as long as it is not impossible – court reluctant to frustrate
2. What events can frustrate a contract?
Destruction of subject matter – taylor v Caldwell
Death [cutter v powell] /being pulled to military services [morgan]
Failure of source [Howell v Coupland]
Government intervention – polish v English company case [fibrosa], Tamplin steamship – gov
intervention if it lasts long can frustrate contract
common purpose not available – krell v henry contrast with herne bay steamboat v hutton
Method of performance – bar is high [cases about canal]
unavailability of subject matter – will frustrate, depending on duration of unavailable – bp
v hunt [oil that bp had extracted from hunt], strike might frustrate contract [nema],
Jackson case [in terms of duration]
Need to look at nature of duration – look at cases and see which one it matches before
making assumption
If situation falls into more than one category – then analyse both situations
2. Are there any limitations on the doctrine of frustration?
Impracticality
imprudent bargains – taylor v caldwell, bad deal was not enough
Foreseeable when contract made
By normal intelligent people
Was foreseen by parties but didn’t place it in contract – Walton Harvey v walker
Express provision in contract
Self-induced frustration
Parties cause event that render contract impossible
Parties did something so that they are unavailable to do obligation – super servant 2,
maritime national fish ltd v ocean trawlers
force majeure clause
leases – only because of national carriers’ ltd case – limitation if duration not long enough
3. What is the effect of frustration on a contract at common law? Less relevant
Under common law, if received small amount of consideration concerning
performance then could not recover anything
Chandler – losses lay where they fell
fibrosa
Whincup
