ABSTRACT
A contract is said to be discharged when the parties become released from their general contractual obligations. The discharge of a contract may be brought about in several ways. However, even in those circumstances where the contract does not involve personal service, but specifically restricts the right to assign the contract or any interest in it to a third party, then the assignment of rights will not be permitted. The legal effect of frustration is that the contract is discharged and money prepaid in anticipation of performance should be returned. A contract can be discharged by a fresh agreement being made between the parties, which is both subsequent to and independent of the original contract. A contract formed between two parties will expressly or impliedly be subject to the condition that it will be capable of performance. Impossibility of performance is usually called frustration of contract.
