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Words: | Submitted: Mon Sep 29 2003
... responsible for. The modern test was enunciated by Lord Simon in National Carriers v. Palpina, where frustration arises when 'there supervenes an event (without default of either party, and for which the contract makes no sufficient provision), which so significantly changes the nature of the outstanding contractual rights/ obligations from what the parties could reasonably have contemplated at the time of its execution that it would be unjust to hold them to the literal sense of stipulation in the new circumstances.' In Davis Contractors v. Fareham UDC, Lord Radcliff stated that frustration occurs where to require performance would be to render the obligation something 'radically different' from what was undertaken by the contract. In this case, the contract was not frustrated, and the problems sustained by the builder made his job more difficult, but did not alter his job specification. b) The doctrine of frustration may be misused, as it is very ...
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