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07 August 2008
Issue: 7333 / Categories: Case law , Law digest
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Contract

CTI Group Inc v Transclear SA [2008] EWCA Civ 856, [2008] All ER (D) 290 (Jul)

It is essential to the doctrine of frustration that the performance of the contract in the new situation should be fundamentally different from that originally contemplated.

In deciding whether or not that is the case, it is necessary to have regard to the general nature of the contract as well as its specific terms, the context in which it was made, and the contemplation of the parties as to the range of circumstances in which it might come to be performed.

A contract will not necessarily be frustrated simply because performance has become impossible, and it will not be frustrated simply because one party is prevented from performing in the manner originally intended if performance in some other manner is possible.

Issue: 7333 / Categories: Case law , Law digest
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MOVERS & SHAKERS

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