The benefit of frustration is available in which of the following cases?
A)Where one of the parties is subject to financial hardship which makes completion of the contract difficult.
B)Where the cost of completing the contract becomes too high.
C)Where it is inconvenient to complete the contract.
D)Where an unforseen event outside the control of the parties significantly changes their obligations and neither party was at fault.

Question

Quizplus · Accepted Answer

Frustration of a contract occurs when an unforeseen event outside the control of the parties significantly changes their obligations and neither party was at fault. In such cases, the benefit of frustration is available and the parties are relieved from their contractual obligations. Options A, B and C do not qualify as frustration of contract situations.

The Benefit of Frustration Is Available in Which of the Following