DOCTRINE OF FRUSTRATION AND FORCE MAJEURE


Doctrine of frustration means those cases where the performance of contract has become impossible to perform due to any unavoidable reason or condition. Under the doctrine of frustration, a promisor is relieved of any liability under a contractual agreement, in the event of a breach of contract, where a party to the agreement is prevented from, or unable to, perform his/her obligations under the agreement, due to some event which occurs, and which was outside of their sphere of control.

Force majeure is present in common law as the doctrine of frustration of contract. This doctrine says that a contract will be frustrated if its fundamental purpose is destroyed. If this happens then the parties to the contract will be discharged from their obligations to perform the contract. Force majeure is some event which is unforeseen and unstoppable and which renders the performance of the contract impossible. The doctrine of frustration says that a contract’s performance will be rendered impossible because of some intervening or supervening event after the contract has been made. A lot of people while entering into contracts incorporate these force majeure clauses to be relieved from performance of all or part of their obligations on the happening of certain specified events beyond the control of the parties.

The Covid 19 is one such force majeure situation where contracts have become impossible to perform.

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