Dicharge by frustration Flashcards
(16 cards)
What is the strict rule of frustration and case?
🥳 bound 2 perform his duty under contract regardless of any interven. act making it impossible- Paradine V Jane
What is the general rule for discharge ?
where 🥳 prevented from perform. bc of intervening unforeseen event, not liable
What are the 3 ways to establish when a contract has been frustrated ?
contract becomes impossible
contract becomes illegal
radical change
How can a contract become impossible and cases ?
matter been destroyed (Taylor V Caldwell)
matter is available (Jackson V Union Marine)
person unavailable (Robinson V Davidson) can b from medical advice (Condor V Baron Knights)
What 2 cases showed frustration when performance becomes illegal and how ?
Re Shipton Anderson- war broke out
Denny, Mott & Dickinson V James Fraser- legis. changed after agreeing
How does Krell V Henry show radical change ?
hotel room specifically hired for kings coronation but postponed
How does Herne V Hutton show radical change and what was the courts held ?
boat hired to watch king inspect fleets
held- frustr. when main purpose of contract no longer happening
When will discharge by frustration NOT apply ?
when self-induced
contract become less profitable
even is foreseeable
force majeure clause
How does Maritime National Fishing V ocean trawlers shows self induced?
frustrating event within company’s self control and brought event upon themselves
What cases show no discharge when contract is less profitable ?
Davis Contractors V Fareham Council
or commercially difficult (Suez Canal Case)
What cases show when an event is foreseeable espec. from an expert ?
Amalgamated Investment V John Walker
Armchair Answereall V People in Mind
What is a force majeure clause ?
says what should b done when a contract is frustrated
if express it’s binding
What are the common law remedies to discharge by frustration ?
frustr. event automatically terminates contract and releases parties from further performance
What statue sets out the remedies for performance ?
Law Reform (Frustrated Contracts) Act 1943
s.1(2) & s.1(3)
What does s.1(2) say about remedies & case ?
£ already paid can b reclaimed (Gamerco Guns n Roses Case)
What does s.1(3) say about remedies ?
when 1 🥳 obtain valuable benefit b4 frustr. event other many recover him some sums if court sees