Chapter 21 Self-test questions

Frustration and force majeure

Quiz Content

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. Taylor v. Caldwell (1863) 3 B & S 826 represented a turning point in English law as regards the doctrine of frustration. The traditional doctrine of absolute contracts was reinterpreted to incorporate an exception based on an implied contractual term as to the existence of the subject matter of the contract. Whilst this authority was followed in later cases, the implied term theory of frustration was questioned and later rejected in Davis Contractors Ltd v. Fareham Urban District Council [1956] AC 696. On what footing was the doctrine then placed?

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. The doctrine of frustration has proved to be of limited practical significance. Which of the following has not contributed to the limited practical significance of the doctrine?

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. The presence of a force majeure clause will not have the automatic effect of excluding the operation of the doctrine of frustration. True or false?

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. J Lauritzen AS v. Wijsmuller BV (The 'Super Servant Two') [1990] 1 Lloyd's Rep 1 is a case of considerable significance. What does the case decide? Select all that apply.

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. Why was the contract in Krell v. Henry [1903] 2 KB 740 frustrated?

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. The effect of frustration is to discharge the contract automatically. What does this imply?

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. A number of severe problems plagued the common law rules on the effect of frustration. Which of the following problems remained after the decision in Fibrosa Spolka Akcyjna v. Fairbairn Lawson Combe Barbour Ltd [1943] AC 32? Select all that apply.

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