‘

DOCTRI
NEOFFRUSTRATI
ONI
NLAW OFCONTRACT-JUDI
CIAL
APPROACH-ACOMPARATI
VESTUDYWI
THU.
K.ANDU.
S.A.
’

2.
1LAW OFCONTRACT-I

Submi
tt
edBy
:
Abhi
shekGi
tt
e
UI
D:UG18-
05
B.
A.LL.
B.(
Hons.
)Semest
er-
II
Academi
cYear2018-
19

Submi
tt
edTo:
Dr
.Mani
shYadav
,Assi
stantPr
ofessorofLaw.

MAHARASHTRANATI
ONALLAW UNI
VERSI
TY,
NAGPUR
 TABLEOFCONTENTS

TABLEOFCONTENTS 1
TABLEOFABBREVI
ATI
ONS 2
TABLEOFCASES 2
I
NTRODUCTI
ON 3
AI
M ANDOBJECTI
VES 4
RESEARCHMETHODOLOGY 4
REVI
EW OFLI
TERATURE 4
SCOPEANDLI
MITATI
ON 5
RESEARCHQUETI
ONS 5
CONCEPTOFFRUSTRATI
ONOFCONTRACT 6
FRUSTRATI
ONI
NENGLI
SHLAW 6
1.I
mpl
i
edTer
m Theor
y 7
1.Super
veni
ngi
l
legal
i
ty 9
2.Fur
therper
for
mancebecome 
i
mpossi
ble 9
SPECI
FICGROUNDSOFFRUSTRATI
ON 9
Dest
ruct
ionofsubj
ectMat
ter
: 9
Deat
horI
ncapaci
tyofpar
ty 10
Gov
ernment
,Admi
nist
rat
iveorLegi
slat
iveI
nter
vent
ion 10
I
nter
vent
ionofWar 10
DOCTRI
NEOFFRUSTRATI
ONI
NUNI
TEDSTATESOFAMERI
CA. 11
CONCLUSI
ON 13
BI
BLI
OGRAPHY 14

1
 TABLEOFABBREVI
ATI
ONS

AI
R Al
lIndi
aRepor
t
Co.Lt
d. CompanyLi
mit
ed
ED. Edi
ti
on
Or
s. Ot
her
s
QB Queen’
sBench
SC Supr
emeCour
t
SCC Supr
emeCour
tCases
SEC. Sect
ion
SR.NO. Ser
ial
Number
U.
K. Uni
tedKi
ngdom
U.
S.A. Uni
tedSt
atesofAmer
ica

TABLEOFCASES

SR.NO. NAMEOFCASE
1 Tay
lorv
.Cal
dwel
l
2 Ol
sonv
.Car
bonar
3 Par
adi
nev
.Jane
4 Kr
ell
v.Henr
y
5 Av
eryvBowden
6 Robi
nsonv
.Dav
ison

2
I
NTRODUCTI
ON

Whent
her
eiscont
ractbet
weent
wopar
ti
esi
tissupposedt
othatt
hepar
ti
es
ar
eboundt
oper
for
mthecont
ract
.Ifanypar
tydonotper
for
mthecont
ract
,
t
heanot
herpar
tycansuef
orbr
eachofcont
ract
.Butsomet
imesi
tisnot
possi
blet
oper
for
mthecont
ract
,duet
osomeunexpect
ed,
unav
oidabl
eort
he
actmaybei
mpossi
bleorunl
awf
ult
odo.Whensucht
ypeofsi
tuat
ionar
ose
t
hecont
racti
ssai
dtobe‘
fr
ust
rat
ed’
.Fr
ust
rat
ioni
scommont
erm usedf
oral
l
t
heev
ent
swhi
char
eresponsi
blef
ormaki
ngcont
racti
mpossi
ble.
Whatf
rust
rat
ioni
s?I
nor
dert
oful
l
ycompr
ehendt
heconceptofcont
ract
,it
maybesai
dthatcont
ract
ualobl
i
gat
ioni
sful
l
yandt
rul
yfoundedont
he
consentoft
hepar
tes consensusadi
i dem t
hati
smeet
ingoft
hemi
nds
agr
eei
ngt
othesamet
hingi
nthesamesense.
Theor
igi
noft
hepr
inci
plef
rom whi
cht
hef
rust
rat
iondoct
ri
nedev
elopedi
s
v
eryol
d.I
twaspar
toft
heRomancont
ractl
awwhi
chext
ingui
shedobl
i
gat
ions
ofi
nnocentpar
ti
eswher
ethe"
thi
ngi
sdest
roy
edwi
thoutt
hedebt
or'
sactor
1
def
aul
t"
,andt
hecont
ractpur
posehas"
ceasedt
obeat
tai
nabl
e".
I
nEngl
and,t
hedoct
ri
neoff
rust
rat
ionf
ir
stt
imei
ntr
oducedi
nthecaseof
2
Tay
lorv
.Cal
dwel
l,t
hecasewi
l
lbedi
scussedf
urt
her
.Bef
oret
hist
her
ewas
nowayt
oset
ti
ngasi
deani
mpossi
blecont
ractaf
terf
ormat
ion.I
nUSt
he
doct
ri
neoff
rust
rat
ionusedi
nthecaseofOl
sonv
.Car
bonar
,in1953,t
he
cont
rov
ersy bet
ween Ant
hony Conf
ort
iand Pet
erCar
bonar
a and t
hei
r
adher
ent
sinChi
cago'
sLocal1oft
heBaker
yandConf
ect
ionar
yWor
ker
s
3
I
nter
nat
ional
Uni
onofAmer
ica.
I
nthi
spapert
hedoct
ri
neoff
rust
rat
ionwi
l
lbedi
scussedatl
engt
h.Fur
ther
r
esear
cherwi
l
lel
abor
atehowt
hisdoct
ri
nei
sev
olv
edi
nEngl
andandUS.The
t
heor
iesr
elat
edt
odoct
ri
neoff
rust
rat
ionar
eal
sogi
ven.Thecompar
isonof
t
heconceptoff
rust
rat
ioni
sal
sodescr
ibedi
nthi
spaper
.
TheRomanl
aw hast
her
oot
soft
hedoct
ri
neoff
rust
rat
ion.Thi
sconceptor
doct
ri
neoff
rust
rat
ionhasev
olv
edf
rom t
imet
oti
me.Thi
scanbeunder
stand
wi
tht
hehel
pofcasel
aws.

1
RogerKil
ey,
TheDoctri
neofFrustr
ati
on,46A.
B.A.J.1292(1960)
.
2
EWHC QB J1,(
1863)3B&S826, 122ER309.
3
Olsonv.Car
bonar
a,21Ul1.App.2d69,157N.
E.2d273( 1959).

3
4
AI
M ANDOBJECTI
VES

The ai
m oft
hisr
esear
ch paperi
sto under
stand aboutt
he doct
ri
ne of
f
rust
rat
ionofcont
racti
nEngl
andandUSA.
Theobj
ect
iveoft
hispaperi
s-
 Tost
udyaboutl
egal
hist
oryofdoct
ri
neoff
rust
rat
ion.
 Tounder
standt
het
heor
iesoff
rust
rat
ion.
 Toknowaboutcondi
ti
onst
oappl
ydoct
ri
neoff
rust
rat
ioni
ncont
ract.
 To know aboutdi
ff
erence bet
ween t
he doct
ri
ne off
rust
rat
ion i
n
Engl
andandUSA.

RESEARCHMETHODOLOGY

Toappr
oacht
heobj
ect
ivesoft
hest
udy
,doct
ri
nalmet
hodol
ogyi
spr
oposed,
i
ntensi
ver
evi
ewont
hesubj
ectwi
l
lbeappl
i
edandt
hei
ssuesundert
hest
udy
woul
dbeexami
nedi
nasy
stemat
icmanner
.Thi
sdoct
ri
nalwor
kadopt
edf
or
t
hewr
it
ingofr
esear
chwor
kisbot
hanal
yti
calanddescr
ipt
ive.Ther
esear
cher
hadt
ri
edt
ocr
it
ical
l
yexami
net
hepr
imar
ysour
cesl
i
kebooks,newspaper
s,
and e-
resour
ces.Opi
nionsofr
esear
ch schol
ars,academi
cians,and ot
her
exper
tsi
ncl
udi
ngt
headv
ocat
eswhohav
edeal
twi
tht
hissubj
ectwi
l
lbeuse
asr
ealcont
ri
but
ion t
oresear
ch.E-
resour
ceshav
emaj
orl
ycont
ri
but
ed i
n
r
esear
chf
orget
ti
ngt
hemostr
elev
antandl
atesti
nfor
mat
ionont
heweb
whi
ch hashel
ped t
he r
esear
chert
o expl
oret
he subj
ectt
hrough v
ari
ous
di
mensi
ons.

REVI
EW OFLI
TERATURE

Resear
cherhasst
udi
edv
ari
ousbooksandar
ti
cl
est
ounder
standt
heconcept
off
rust
rat
ioni
ncont
ract
.
 ThebookPol
l
akandMul
l
a,TheI
ndi
anCont
ractAct
,1872-Thebook
descr
ibest
heDoct
ri
neoff
rust
rat
ioni
ndet
ailmanner
.Itwashel
pfult
o
under
standt
heor
iesr
elat
edt
ofr
ust
rat
ioni
ncont
ract
.
 Si
rJackBeat
son,Anson’
slaw ofcont
ract
-Thi
sbookdescr
ibesdoct
ri
ne
off
rust
rat
ioni
nEngl
i
shcommonl
aw wi
tht
hehel
pofv
ari
ouscasel
aws
whi
chbr
ingsdoct
ri
neoff
rust
rat
ion.

5
 RogerKi
l
ey,TheDoct
ri
neofFr
ust
rat
ion,46A.
B.A.J.1292(
1960)
:Thi
s
ar
ti
clei
swr
it
tenbyJust
iceRogerKi
l
ey,whi
chdescr
ibest
hedoct
ri
neof
f
rust
rat
ioni
nU.
S.A.
 Andr
ewPhang,
Frust
rat
ioni
nEngl
i
shLaw-AReappr
aisal
,21Angl
o-Am.L.
Rev
.278(
1992)
:Thi
sar
ti
cleanal
ysest
hef
rust
rat
ionofcont
racti
nEngl
i
sh
Law.

SCOPEANDLI
MITATI
ON

Thi
sresear
chi
ntendst
olookatt
hepr
ovi
sionswhi
chhav
ebeenl
aiddownt
o
dealwi
tht
hest
atusoft
hecont
ractwhent
heper
for
manceoft
hecont
ract
becomesi
mpossi
bleorunl
awf
ulandr
easonsandgr
oundswhi
chdeal
swi
th
t
hef
rust
rat
ionofcont
ract
.Thi
swor
kshowscompar
ati
vest
udyofdoct
ri
neof
st
atus.Thi
spr
ojectal
sol
ooksupont
hev
ari
ousot
herpr
ovi
sionswhi
chcome
i
ntoef
fectduet
ofr
ust
rat
ionofcont
ract
.

RESEARCHQUETI
ONS

1.Whati
sdoct
ri
neoff
rust
rat
ion?
2.Howdoct
ri
neoff
rust
rat
ionev
olv
edi
nU.
K.andU.
S.A.
?
3.Whydoct
ri
neoff
rust
rat
ioni
simpor
tanti
nlawofcont
ract
?

6
CONCEPTOFFRUSTRATI
ONOFCONTRACT

Thedoct
ri
neofdi
schar
gef
rom l
i
abi
l
itybyf
rust
rat
ionhasbeenexpl
ainedi
n
v
ari
ousway
s-somet
imesbyspeaki
ngoft
hedi
sappear
anceofaf
oundat
ion
whi
cht
hepar
ti
esassumedt
obeatt
hebasi
soft
hei
rcont
ract
,somet
imesas
deduced f
rom a r
ule ar
isi
ng,f
rom i
mpossi
bil
i
ty of per
for
mance,and
somet
imesasf
lowi
ngf
rom t
hei
nfer
enceofani
mpl
i
edt
erm.Doct
ri
neof
f
rust
rat
ionoccupi
esaspeci
alpl
acei
ntheLaw ofCont
ract
.Thi
sdoct
ri
neof
f
rust
rat
ionwasev
olv
edt
omi
ti
gat
ether
igouroft
hecommonl
aw’
sinsi
stence
onl
i
ter
alper
for
manceofabsol
utepr
omi
ses.Undert
hedoct
ri
neoff
rust
rat
ion
acont
ractmaybedi
schar
gedi
faf
teri
tsf
ormat
ionev
ent
soccurmaki
ngi
ts
per
for
mancei
mpossi
ble4.
Thedoct
ri
neofcommer
cialf
rust
rat
ion,
mor
eaccur
atel
ycal
l
edt
hedoct
ri
neof
i
mpossi
bil
i
tyofper
for
mance,i
nvol
vest
heef
fectofasuper
veni
ngev
enton
t
hecont
ract
ualobl
i
gat
ionsoft
hepr
omi
sorandt
hecont
ract
uralr
ight
soft
he
pr
omi
see.Asuper
veni
ngev
enti
sonenott
akeni
ntoaccountbyt
hepar
ti
esat
t
het
imeofcont
ract
ingandoccur
ri
ngaf
tert
het
imeofconcl
udi
ngt
hecont
ract
whi
chr
ender
stheper
for
mancecal
l
edf
orbyt
hecont
ractei
therphy
sical
l
yor
5
l
egal
l
yimpossi
ble,
orexcessi
vel
ydi
ff
icul
t.
orexpensi
ve.

FRUSTRATI
ONI
NENGLI
SHLAW

TheEngl
i
shCommonLawhi
stor
ical
l
yhol
dst
hepar
ti
est
othei
rbar
gai
n,t
hus
l
eav
ingt
hem t
omaket
hei
rownpr
ovi
sionsf
orev
ent
sout
sideoft
hei
rcont
rol
s,
f
orci
rcumst
anceswhi
chmaymaket
hei
robl
i
gat
ionsmor
ebur
densomeand
6
f
ori
nst
anceswhi
chmayr
enderf
urt
herper
for
manceofcont
racti
mpossi
ble.
I
n 1647,t
he j n Par
udgesi adi .Jane7 l
ne v aid down r
ule ast
o absol
ute
cont
ract
s,wher
ePar
adi
nesuedJanef
orr
entdueuponal
ease.Janepl
eaded
t
hatanal
i
enenemyhadi
nvadedwi
thar
myandent
eredupont
hedef
endant
s’
possessi
onandexpel
l
edhi
m outofpossessi
onduet
owhi
chhecoul
dnot

4
SIRJACKBEATSON, ANSON’SLAW OFCONTRACT, pp.473-475, (
29thEd.2010).
5
Commer ci
alFrust
rati
on:AComparat
iveStudy,
3Tex.I
nt '
lL.F.275( 1967)
6
htt
p://
www. docstoc.
com/docs/
23799980/The-
Doct
rine-of-
Frustr
ation (v
isi
ted on 04
Jan.2019).
7
EWHCKBJ5

7
t
aket
hepr
ofi
tsf
rom t
hel
ease.Thepl
eawast
hatt
her
entwasnotdue
becauset
hel
esseehadbeendepr
ivedoft
hepr
ofi
tsf
rom whi
cht
her
ent
shoul
dhav
ecomebyt
heev
ent
swhi
char
ebey
ondhi
scont
rol
.TheCour
thel
d
t
hatt
hiswasnoexcuse.
Thi
srul
eofabsol
utecont
ract
swor
kswel
lwher
eitwoul
dber
easonabl
eto
expecti
ttopr
ovi
def
ort
heev
enthav
ingr
egar
dtot
henat
ureoft
hecont
ractor
t
heci
rcumst
ancesi
nwhi
chi
twasmade.
Bef
oret
heenact
mentoft
heLaw Ref
orm(
Frust
rat
edCont
ract ,19438,
s)Act
9
t
hepr
inci
plesofEngl
i
shLawwer
ethoseasl
aiddowni
nt Kr
he  el
lv.Henr
y, i
n
t
hiscaseBycont
racti
nwr
it
ingof20June1902,
thedef
endantagr
eedt
ohi
re
f
rom t
hepl
aint
if
faf
lati
nPal
lMal
lon26Juneand27June,onwhi
chday
sit
hadbeenannouncedt
hatt
hecor
onat
ionpr
ocessi
onswoul
dtakepl
aceand
passal
ongPal
lMal
l
.Thecont
ractdi
dnotcont
ainanyexpr
esst
ermsont
he
cor
onat
ionpr
ocessi
onsoranyot
herpur
posesf
orwhi
cht
hef
latwast
obe
hi
red.The def
endantpai
dthe deposi
tupon si
gni
ng t
he cont
ract
.The
pr
ocessi
ons,
howev
er,
didnott
akepl
aceont
heannounceddat
es.Asar
esul
t,
t
hedef
endantdecl
i
nedt
opayt
hebal
anceoft
heagr
eedr
ent
.Themai
nissue
i
nthi
scasewast
hedef
endantobl
i
gedt
opayt
her
entdespi
tet
hef
actt
hatt
he
pr
ocessi
onsdi
dnott
akepl
aceaspl
anned?Thedeci
sionwasi
nfav
ouroft
he
def
endant
.Appl
yi
ngTay
lorvCal
dwel
l(1863)3B&S826,asbot
hpar
ti
es
r
ecogni
zedt
hatt
heyr
egar
dedt
het
aki
ngpl
aceoft
hecor
onat
ionpr
ocessi
ons
ont
heday
sor
igi
nal
l
yfi
xedast
hef
oundat
ionoft
hecont
ract
,thewor
dsoft
he
obl
i
gat
ionont
hedef
endantt
opayf
ort
heuseoft
hef
latf
ort
heday
snamed
wer
enotusedwi
thr
efer
encet
othepossi
bil
i
tyt
hatt
hepr
ocessi
onsmi
ghtnot
t
akepl
ace.Thepl
aint
if
fwasnotent
it
ledt
orecov
ert
hebal
anceoft
her
ent
f
ixedbyt
hecont
ract
.Atcommonl
aw,
thecont
racti
saut
omat
ical
l
ybr
oughtt
o
anendatt
het
imeoft
hef
rust
rat
ingev
ent
.Var
ioust
heor
ieshav
ebeenput
f
ort
htoexpl
aint
hebasi
soft
hedoct
ri
neoff
rust
rat
ionbycour
tsi
nEngl
and.
Themai
ntheor
i e10:
esar
1.I
mpl
i
edTer
m Theor
y:Thi
stheor
yimpl
i
est
hatt
hecont
racti
sdi
schar
ged
becauset
hepar
ti
escanbet
akent
ohav
eimpl
i
edpr
ovi
dedt
hati
ntheev
ent
s

8
htt
p://www.
legisl
ati
on.gov.
uk/
ukpga/Geo6/6-
7/40/
sect
ion/
1(visi
tedon04Jan.
2019)
.
9
Krellv
.Henr
y,(1903)2KB740: (1900-
3)AllERRep20(CA).
10
Arnol
dD.McNai r
,Frustr
ati
onofContractbyWar,56L.Q.Rev
.173( 1940)

8
 11
whi
chhav
esubsequent
lyhappened,
thecont
ractwoul
dcomet
oanend.
2.
 Theor
yofDi
sappear
anceoft
heFoundat
ionoft
heCont
ract
:Thi
stheor
y
i
mpl
i
est
hatt
hecont
racti
sdi
schar
gedbecauset
hef
oundat
ionoft
hecont
ract
hasgonebydest
ruct
ionoft
hesubj
ect
-mat
ter
.
3.
 Theor
yofJustandReasonabl
eResul
t:Thi
stheor
yst
atest
hati
tist
hel
aw
t
hati
npar
ti
cul
arci
rcumst
ances,
thecont
ractshal
lcomet
oanend.
4.
 Radi
calchangei
nobl
i
gat
ion:Thi
stheor
yst
atest
hatt
hef
rust
rat
ionoccur
s
whenev
ert
hel
awr
ecogni
zest
hatwi
thoutdef
aul
tofei
therpar
tyacont
ract
ual
obl
i
gat
ion has become i
ncapabl
e of bei
ng per
for
med because t
he
ci
rcumst
ancesi
nwhi
chper
for
mancei
scal
l
edf
orwoul
drenderi
tat
hing
r
adi
cal
l
ydi
ff
erentf
rom t
hatwhi
chwasunder
takenbyt
hecont
ract
.
I
fa cont
racti
s made,and l
ateri
tbecomes i
mpossi
blet
o per
for
m t
he
obl
i
gat
ionst
henonl
ythedoct
ri
neoff
rust
rat
ioncanbeused.I
fthecont
ract
wasi
mpossi
blef
rom t
hest
art
ing poi
nt,t
hen wecannotusedoct
ri
neof
f
rust
rat
ion.
Youshoul
dfi
rstest
abl
i
shwhet
herornott
hepar
ti
cul
arsi
tuat
ioni
nquest
ion
hasbeenexpr
essl
ypr
ovi
dedf
ori
nthecont
ract
.Suchapr
ovi
sioni
scal
l
ed
a 
for
cemaj
eur ause12.For
ecl cemaj
eur
eref
erst
oacl
auset
hati
sincl
udedi
n
cont
ract
stor
emov
eli
abi
l
ityf
ornat
uralandunav
oidabl
ecat
ast
rophest
hat
i
nter
ruptt
heexpect
edcour
seofev
ent
sandr
est
ri
ctpar
ti
cipant
sfr
om f
ulf
il
li
ng
obl
i
gat
ions.Af
orcemaj
eur
ecl
ausei
sapr
ovi
sioni
nacont
ractt
hatal
l
owst
he
par
ti
es t
o suspend ort
ermi
nat
e a cont
ractwhen cer
tai
n ci
rcumst
ances
out
sideoft
hei
rcont
rolmakeper
for
manceoft
hecont
racti
mpossi
bleor
i
mpr
act
icalt
o per
f m13.Whati
or sincl
uded i
naf
orce maj
eur
e cl
ause i
s
dependentont
hecont
ract bet
weent
hepar
ti
es,howev
er,f
orcemaj
eur
e
cl
auseswi
l
lty
pical
l
yincl
udeev
ent
ssuchasf
loodi
ng,ear
thquakes,l
i
ght
ning,
pr
olonged powerout
ages,changesi
nlegi
slat
ion ort
err
ori
stat
tacks.For
exampl
e,acont
ractf
ort
hesal
eofsomegoodsbei
ngi
mpor
tedbyseami
ght
say
,“i
ntheev
entoft
hecar
gobei
ngl
ostatsea,
thi
siswhathappen.
” Af
orce
maj
eur
ecl
ausei
sonl
yval
i
dift
hepr
ovi
sioni
sful
landcompl
ete–t
hati
s,i
t
11
ht
tps:
//bhar
atchugh.wor
dpress.
com/t
ag/secti
on-
56-
in-t
he-
indi
an-cont
ract
-act
/(vi
sit
edon
04Jan.2019).
12
ht
tps:
//www.invest
opedi
a.com/ter
ms/f
/forcemaj
eur
e.asp(vi
sit
edon05Januar y2019)
.
13

htt
p:/
/www. mel
lor
olsson.
com.
au/news/
the-
use-
of-
for
ce-
maj
eur
e-cl
auses-
and-
fr
ust
rat
ion-
of-
c
ontr
acts(
visi
tedon12January
,2019)

9
hast
obespeci
fi
caboutwhatr
iski
sbei
ngpr
ovi
dedf
or.
I
fther
eisn’
taf
orcemaj
eur
ecl
ause,
thenweneedt
olookatt
het
hreesor
tsof
f
rust
rat
ionest
abl
i
shedi aw14:
ncasel
1. Super
veni
ngi
l
legal
i
ty.
 Si
ncet
hecont
ractwasmade,anew l
aw
hasmadei
til
l
egalt
oper
for
m.I
n Av
eryvBowden15 i
nwhi
chashi
pwas
supposedt
opi
ckupsomecar
goatOdessa.Wi
tht
heout
breakoft
heCr
imean
War
,thegov
ernmentmadei
til
l
egalt
oloadcar
goatanenemypor
t,sot
he
shi
pcoul
dnotper
for
mit
scont
ractwi
thoutbr
eaki
ngt
hel
aw.Thecont
ract
wast
her
efor
efr
ust
rat
ed.
2. Fur
ther per
for
mance become 
i
mpossi
ble. Two key r
easons:
Dest
ruct
ionoft
hesubj
ectmat
terandt
he 
non-
avai
l
abi
l
ity
 ofapar
ty,duet
o
deat
h,i
l
lness,
orot
herexcept
ional
cir
cumst
ances.
3. Thenat
ureoft
hecont
ract
ualobl
i
gat
ions 
becomessi
gni
fi
cant
ly
di
ff
erentf
rom whatwasagr
eed.Acont
racti
snotf
rust
rat
edj
ustbecausei
tis
becomemor
edi
ff
icul
torexpensi
vet
oper
for
m.Thati
sar
iskt
haty
out
ake
wheny
ouent
eri
ntoacont
ract
.Cont
ractbecomesf
rust
rat
edbecauseof
phy
sicali
mpossi
bil
i
ty.Thesuper
veni
ngev
entmustbebey
ondt
hecont
rolof
bot
hpar
ti
es.Theev
entmustbeunf
oreseeabl
ebybot
hpar
ti
es.

SPECI
FICGROUNDSOFFRUSTRATI
ON

“
Thepr
inci
pleoff
rust
rat
ionofcont
ract
,orofi
mpossi
bil
i
tyofper
for
mancei
s
appl
i
cabl
etoagr
eat
erv
ari
etyofcont
ract
s.I
tist
her
efor
e,notpossi
blet
olay
downanexhaust
ivel
i
stofsi
tuat
ionsi
nwhi
cht
hedoct
ri
nei
sgoi
ngt
obe
appl
i
edsoast
oexcuseper
for
mance.Yett
hef
oll
owi
nggr
oundsoff
rust
rat
ion
hav
ebecomewel
lest shed16:
abl
i

Dest
ruct
ionofsubj
ectMat
ter
:

Thedoct
ri
neofi
mpossi
bil
i
tyappl
i
eswi
thf
ullf
orce“
wher
etheact
ualand
speci
fi
csubj
ectmat
teroft
hecont
racthasceasedt
oexi
st”
.Ont
hispoi
nti
n
I
ndi
ather
ewasar
ecentcaseofSupr
emeCour
tofI
ndi
a Mar
kfedVanaspat
i&

14
H.K.Sahar
ay,
DUTTONCONTRACT,pp.526- 11thed.2013)
532( .
15
1856AC450.
16
SIRJACKBEATSON,ANSON’
SLAW OFCONTRACT,pp.477-484,29thEd.2010)
( .

10
Al
l
iedI
ndust
ri
esv
.Uni
onofI a17 
ndi i
nthi
scaset
heSupr
emeCour
thel
dthat
For
ceMaj
eur
ecl
ausecanbei
nvokedwheni
tper
tai
nst
othecont
ract
ual
obl
i
gat
iont
hathaspur
por
tedl
ybecomei
mpossi
bleofper
for
mance.Whi
l
ein
18
Engl
i aw Tay
shl lorv
.Col
dwel
l casei
sthebestexampl
eoft
hef
rust
rat
ionof
cont
ractont
hegr
oundof“
dest
ruct
ionofsubj
ectmat
ter
”.

Deat
horI
ncapaci
tyofpar
ty

Thewhol
econt
racti
sbasedont
heassumpt
ionoft
hecont
inuanceofl
i
fe,
and
ont
hecondi
ti
onswhi
chexi
stedatt
het
ime.Thatassumpt
ioni
smadebybot
h;
i
tisr
eal
l
ythef
oundat
ionoft
hecont
ract
.Int
hisr
egar
dther
ewasaf
amous
19
Engl
i Robi
shcase  nsonv
.Dav
ison, ther
ewasacont
ractbet
weent
hepi
ani
sts
andsponsort
hatshepl
aypi
anoataconcer
t.Ont
hemor
ningoft
hedayshe
i
nfor
medt
hepl
aint
if
fthatshewast
ooi
l
ltoat
tendt
heconcer
tthatr
esul
t
pl
aint
if
flostasum ofmoney
.Thepl
aint
if
f’
sact
ionf
orbr
eachofcont
ract
f
ail
ed.Thecour
tsai
dthatundert
heci
rcumst
ancesshewasnotmer
ely
excusedf
rom pl
ayi
ng,butshewasal
sonotatl
i
ber
tyt
opl
ay,i
fshewasunf
it
t
odoso.

Gov
ernment
,Admi
nist
rat
iveorLegi
slat
iveI
nter
vent
ion

Acont
ractwi
l
lbedi
ssol
vedwhenl
egi
slat
iveoradmi
nist
rat
ivei
nter
vent
ionhas
sodi
rect
lyoper
atedupont
hef
ulf
il
mentoft
hecont
ractf
oraspeci
fi
cwor
kas
t
otr
ansf
orm t
he cont
empl
ated condi
ti
ons ofper
for
mance.I
nthe case
of
 Nai
hat
iJut
eMi
l
lsv
.Khy
ali
r h20t
am Jagannat hef
actoft
hecasei
sthatt
he
buy
erappl
i
edf
orl
i
cenceofi
mpor
tbutt
her
uleshadbeenchangedandt
o
obt
ainal
i
cencehemustshow t
hathehadusedanequalquant
it
yofI
ndi
an
j
ute.Thust
hebuy
erf
ail
edt
osuppl
ythel
i
cenceandwassuedf
orbr
each.He
pl
eadedf
rust
rat
ioncausedbyt
hechangei
nGov
ernmentpol
i
cy.Buthewas
hel
dli
abl
e.

I
nter
vent
ionofWar

I
nter
vent
ionofwarorwar
li
kecondi
ti
onsi
ntheper
for
manceofacont
racthas

17
AIR2007SCC679.
18
Tayl
orv.Cal
dwel
l
,(1863)3B&S826:
122ER309.
19
1871LR6.
20
AIR1968SC522.

11
of
tencr
eat
eddi
ff
icul
tquest
ion.f
ori
nst
ancet
heencl
osur
eofSuezcanal
f
oll
owi
ngt
heAngl
o-Fr
enchwarwi
thEgy
pti
nter
rupt
edt
heper
for
manceof
manycont
ract
sthatt
ime.ThecaseTsaki
ogl
ou&CoLt
dv.Nobl
ee&Thor
l
GMBH21 deal
swi
tht
hatsi
tuat
ion,i
nitt
hecont
ractbet
weent
hepar
ti
eswas
hel
dfr
ust
rat
edont
hebasi
sofi
nter
vent
ionofwarduet
oimpl
i
edt
ermsoft
he
cont
ract
.InI
ndi
an scenar
io,i
n a case bef
oret
he Pat
na Hi
gh Cour
tA.
  F.
Fer
gusonv tMohanGhose22 per
.Lal
i for
manceofacont
ractofl
i
fei
nsur
ance
hadbecomei
mpossi
blebecauset
hei
nsur
erwasaGer
mancompanyandon
t
heout
breakofwari
tsbusi
nesswascl
osedbyt
heGov
ernmentofI
ndi
aand
t
hedi
sposalofpendi
ngpol
i
cieswashandedov
ert
oat
hemoneypai
dbyhi
m
undert
hepol
i
cy.

DOCTRI
NEOFFRUSTRATI
ONI
NUNI
TEDSTATESOFAMERI
CA.

Aswehav
eal
readydi
scussedt
hatt
hedoct
ri
neoff
rust
rat
ioni
sver
yol
d
concept
.Thedoct
ri
nehasder
ivedf
rom t
heRomanl
awconcept
.TheEngl
and
commonl
aw f
ir
stl
yadopt
edt
hisdoct
ri
neoff
rust
rat
ion.
Itwaspar
toft
he
Romancont
ractl
awwhi
chext
ingui
shedobl
i
gat
ionsofi
nnocentpar
ti
eswher
e
t
he"
thi
ngi
sdest
roy
edwi
thoutt
hedebt
or'
sactordef
aul
t"
,andt
hecont
ract
23
pur
posehas"
ceasedt
obeat
tai
nabl
e" .As"
frust
rat
ion"
,thedoct
ri
nei
nthe
Uni
tedSt
ateshasnotbeenwi
del
yknownordi
scussed.
Theuseofdoct
ri
neoff
rust
rat
ionofcont
ract
sinI
ll
i
nios,
USAwasappr
ovedi
n
25
Apr
il195924.I
nthecaseofOl
sonv
.Car
bonar ,1959.Thecont
rov
ersyi
n1958
bet
ween Ant
hony Conf
ort
iand Pet
erCar
bonar
a and t
hei
radher
ent
sin
Chi
cago'
sLocal1oft
heBaker
yandConf
ect
ionar
yWor
ker
sInt
ernat
ional
Uni
onofAmer
ica.Pl
aint
if
fssuedf
oradecl
arat
oryj
udgment
,fort
empor
ary
andper
manenti
njunct
ionsandf
oranaccount
ing.Theyappeal
from t
hedeni
al
oft
hei
rmot
ionf
orat
empor
aryi
njunct
ionandf
rom adecl
arat
oryj
udgmentf
or
def
endantent
eredont
hepl
eadi
ngs.Bot
htheSupr
emeCour
tofI
ll
i
noi
sand
t
hiscour
thav
erecogni
zedt
hedoct
ri
neof"
frust
rat
ionofcont
ract
"buthav
e
notappl
i
edi
t.

21
1962AC93: (1961)2AllER179:(1961)2WLR633.
22
AIR1954PAT596.
23
Sohm,INSTITUTESOFROMANLAW 439( 3ded.1907)
24
RogerKil
ey,
TheDoct r
ineofFrustr
ati
on,46A.
B.A.J.1292(1960)
.
25
Olsonv.Car
bonara,21Ul1.App.2d69,157N.E.2d273(1959).

12
Butt
hiscasecr
eat
edabackgr
oundf
ort
hedoct
ri
neoff
rust
rat
ioni
nuni
ted
st
ates.
TheCour
trecogni
zedt
hedoct
ri
neasanext
ensi
onoft
heexcept
ion
t
hat"
in cont
ract
sto whose per
for
mance t
he cont
inued exi
stence ofa
par
ti
cul
arper
sonort
hingi
snecessar
y,acondi
ti
oni
sal
way
simpl
i
edt
hatt
he
26
deat
hordest
ruct
ionoft
hatper
sonort
hingshal
lexcuseper
for
mance.
"
t
heAmer
icanLaw I
nst
it
uteadopt
edSect
ion288oft
heRest
atementoft
he
Law ofCont
ract
s,dr
aft
ed by "
Repor
ter
"SamuelWi
l
li
ston.Thi
s sect
ion
pr
ovi
dest
hat"
wher
etheassumedpossi
bil
i
tyofadesi
redobj
ectoref
fectt
o
beat
tai
nedbyei
therpar
ty"f
ormst
hebasi
sonwhi
chbot
hpar
ti
esent
era
cont
ract
,"andt
hisobj
ectoref
fecti
sorsur
elywi
l
lbef
rust
rat
ed,apr
omi
sor
,
whoi
swi
thoutf
aul
tincausi
ngf
rust
rat
ion,
andwhoi
shar
medt
her
eby
,is
di
schar
ged f
rom t
he dut
y ofper
for
ming hi
s pr
omi
se unl
ess a cont
rar
y
27
i
ntent
ionappear
s"
TheRest
atement(
Second)oft
heLawofCont
ract
sisal
egalt
reat
isef
rom t
he
secondser
iesoft
heRest
atement
soft
heLaw,andseekst
oinf
ormj
udges
andl
awy
ersaboutgener
alpr
inci
plesofcont
ractcommonl
aw.I
tisoneoft
he
best
-r
ecogni
zed and f
requent
ly ci
ted l
egalt
reat
ises i
n al
lofAmer
ican
j
uri
spr
udence.Ev
eryf
ir
sty
earl
awst
udenti
ntheUni
tedSt
atesi
sexposedt
oit
,
andi
tisaf
requent
lyci
tednon-
bindi
ngaut
hor
it
yinal
lofU.
S.commonl
awi
n
t
hear
easofcont
ract
sandcommer
cialt
ransact
ions.I
tisawor
kwi
thoutpeer
i
nter
msofov
eral
linf
luenceandr
ecogni
ti
onamongt
hebarandbench,wi
th
t
he possi
ble except
ion oft
he Rest
atementofTor
ts.The Amer
ican Law
I
nst
it
utebeganwor
kont
hesecondedi
ti
oni
n1962andcompl
etedi
tin1979;
t
hev
ersi
oni
nuseatpr
esenthasacopy
righty
earof1981.
I
nRest
atement(
second)ofLaw ofcont
ract
s,t
hedoct
ri
neoff
rust
rat
ioni
s
gi
ven under chapt
er 11 ‘
I
MPRACTI
CABI
LITY OF PERFORMANCE AND
FRUSTRATI
ON OFPURPOSE’under§261as, Di
schar
gebySuper
veni
ng
I
mpr
act
icabi
l
it-‘
y Wher
e,af
teracont
racti
smade,apar
ty'
sper
for
mancei
s
madei
mpr
act
icabl
ewi
thouthi
sfaul
tbyt
heoccur
renceofan ev
entt
he
non-
occur
renceofwhi
chwasabasi
cassumpt
iononwhi
cht
hecont
ractwas
made,hi
sdut
ytor
endert
hatper
for
mancei
sdi
schar
ged,unl
esst
hel
anguage

26
I
d.392Il
l.at187
27
RESTATEMENT, CONTRACTS,
Sect
ion288(
1932)
.

13
 28
ort
heci
rcumst
ancesi
ndi
cat
ethecont
rar
y’.
I
ntheUni
tedSt
ates,f
rust
rat
ionst
il
lremai
nsav
agueandunset
tl
eddoct
ri
ne
and t
he sol
uti
onsadv
anced ar
e notal
way
sconsi
stentwi
tht
he t
heor
ies
i
nvol
ved.
 Amer
icancour
ts,i
naddi
ti
on,ar
eev
enmor
erel
uct
antt
ogr
antr
eli
ef
t
han t
he r
eluct
ant Engl
i
sh cour
ts.
 The r
ule of
 Par
adi
ne v
. Jane 
was
t
ranspl
ant
edf
rom Engl
andi
ntheni
net
eent
hcent
ury
 andwasl
ongsanct
ioned
byt
heAmer
icancour
ts,al
thoughexcept
ionswi
thr
egar
dtocer
tai
nimpor
tant
cl
assesofcont
ract
swer
erecogni
zed.
 Thebr
eakdownoft
heabsol
utel
i
abi
l
ity
t
heor
ycameaboutbyt
heendoft
heni
net
eent
hcent
ury
 thr
ought
heuseof
v
ari hods29.
ousmet
Fi
rst
,adi
ff
erent
iat
ionbet
weensubj
ect
iveandobj
ect
ivei
mpossi
bil
i
tywas
made,wi
thonl
ythel
att
erent
it
li
ngt
heobl
i
gort
oanexcuse.Thi
sdi
sti
nct
ion,
adopt
edi
ntheFi
rstRest
atementofCont
ract
sandmai
ntai
nedi
nthet
ent
ati
ve
30
dr
aftoft
heSecondRest
atement
,  
hasbeenst
rongl
ycr
it
ici
zed.
 Second,
thr
ee
casesofdi
schar
gingi
mpossi
bil
i
ty,anal
ogoust
othoseofEngl
i
shl
aw,wer
e
r
ecogni
zed:super
veni
ngi
l
legal
i
ty;deat
hori
l
lnessoft
heobl
i
gori
naper
sonal
ser
vicescont
ract
;anddi
sappear
anceoft
heessent
ialper
son,t
hingorot
her
meansofper
for
mance.
 Al
thought
hecoher
enceoft
hissy
stemat
izat
ionhas
been quest
ioned,
 
itwasi
ncor
por
ated i
n bot
hthe 
Rest
atement
s. 
Thi
rd,t
he
conceptof"
impr
act
icabi
l
ity
"def
inedas"
ext
remeandunr
easonabl
edi
ff
icul
ty,
expense,i
njur
yorl
oss,
" 
emer
gedasanexcusef
ornonper
f mance31.The
or
t
erm wasext
ensi
vel
yusedi
ntheUni
for
m Commer
cialCode 
andi
trepl
aced
t
hewor
d"i
mpossi
bil
i
ty"i
nthet
ent
ati
vedr
aftoft
heSecondRest
atement
, 
yet
nei
thert
het
extnort
hecomment
soft
hesemaj
orcompi
l
ati
onsof
fer
san
32
adequat
ecl
ari
fi
cat
ionoft
hisgener
alanduncer
tai
nconcept
.

CONCLUSI
ON

TheDoct
ri
neoff
rust
rat
ionsay
sthati
ftheper
for
manceoft
hepr
omi
ses
becomesi
mpossi
blet
oper
for
m byr
easonofsomeev
entwhi
cht
hepr
omi
sor
coul
dnotpr
event
,unl
awf
ul,
becomesv
oidwhent
heactbecomesi
mpossi
ble,

28
RESTATEMENT( second)CONTRACTS,Secti
on265.
29
G.GILMORE,THEDEATHOFCONTRACT45- 47( 1974)
.
30
RESTATEMENTOFCONTRACTS§455( 1932).
31
A.VONMEHREN&J.GORDLEY, THECI VI
LLAW SYSTEM 1040-
43(
2ded.1977)
32
 Uni
for
m Ci
vi
l Code,§2-614(
a),
2-615(
8).

14
and t
he cont
racti
sdeemed t
o be f
rust
rat
ed.And t
he obl
i
gat
ion oft
he
per
for
mance l
oses i
tsv
ali
dit
y.Thi
s means par
ti
es wi
l
lnotbe l
i
abl
eto
compensat
eanyf
urt
herf
ornon-
per
for
mance.Thi
spr
ovi
sioncont
ainsmany
ot
herpr
ovi
sionandt
est
stocheckt
hatf
rust
rat
ionhasgenui
nel
ytakenpl
ace
ornot
.
Theobj
ectoft
hedoct
ri
neoff
rust
rat
ioni
stof
indasat
isf
act
orywayof
al
l
ocat
ingt
her
iskofsuper
veni
ngev
ent
s.Thedoct
ri
nedoesnotpr
eventt
he
par
ti
esf
rom maki
ngt
hei
rownpr
ovi
sionf
ort
hispur
pose.Theycanexpr
essl
y
pr
ovi
det
hatt
her
iskshal
lbebor
nebyoneoft
hem,notbyt
heot
her
,ort
hey
canappor
ti
oni
tordealwi
thi
tinanyot
herwayt
heyl
i
keorl
eti
tli
ewher
eit
f
all
s.
Thedoct
ri
neoff
rust
rat
ionwasader
ivedf
rom t
heRomanl
aw.Fi
rstt
imei
t
wasadopt
edbyEngl
and.I
nUSAt
hedoct
ri
neoff
rust
rat
ioni
sadopt
edv
ery
l
ater
.Thedoct
ri
newasadopt
edi
nSec.288Rest
atementofCont
ract
s,1932.

BI
BLI
OGRAPHY

ARTI
CLES:
 RogerKi
l
ey,
TheDoct
ri
neofFr
ust
rat
ion,
46A.
B.A.J.1292(
1960)
 JayLeoRot
hschi
l
d,TheDoct
ri
neofFr
ust
rat
ionorI
mpl
i
edCondi
ti
oni
n
t
heLawofCont
ract
s,6Temp.L.
Q.337(
1932)
 Wi
l
li
am J.Conl
en,Doct
ri
neofFr
ust
rat
ionasAppl
i
edt
oCont
ract
s,70
U.Pa.L.Rev
.87(
1921-
1922)
 Andr
ew Phang,Fr
ust
rat
ion i
n Engl
i
sh Law -A Reappr
aisal
,21
Angl
o-Am.L.Rev
.278(
1992)

BOOKS:
 Pol
l
akandMul
l
a,TheI
ndi
anCont
ractAct
,1872,
(Lexi
sNexi
sIndi
a,14ed.
2013)
 Av
atarSi
ngh,Cont
ractandSpeci
fi
cRel
i
efAct
,(East
ernBookCompany
,
11thed.2013)
 H.K.Sahar
ay,Dut
tonCont
ract-TheI
ndi
anCont
ractAct
,1872,(
 East
ern
11th 2013)
LawHouse,
 Si
rJackBeat
son,Anson’
slaw ofcont
ract
,(Oxf
ordUni
ver
sit ess,29th
yPr

15
 2010)

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16