ABSTRACT

The doctrine of frustration deals with situations where circumstances change after a contract has been made and this makes performance impossible, or at least significantly different from what was intended. Other types of event that have been held to lead to frustration include industrial action, particularly if in the form of a strike, and the effects of war. The general limitations on the availability of a plea of frustration, in terms of the seriousness of the event and its effect on what the parties have agreed. The effects of a frustrating event are dealt with both by common law rules and the provisions of the Law Reform Act 1943. G H Treitel and E Peel, for example, argue that although the Act makes reference to the relevance of the effect of the frustrating circumstances, this should be interpreted as applying to the assessment of the ‘just sum’ to be awarded, rather than the valuation of the benefit itself.