Following are some of the circumstances in which non-performance of a contract was held not to be excused.
Exceptions
To The Principle Of Supervening Impossibility
Impossibility As A Rule Is
No Excuse For Non-Performance:
Following are some of the circumstances in which
non-performance of a contract was held not to be excused.
Difficulty of performance: If a
contract becomes difficult to perform
but not impossible the promisor would not be discharged on that account.
Commercial Impossibility would not
discharge of a contract. A contract
would not be deemed to be impossible because it does not remain profitable to
the promisor or would make the promisor to incur losses.
Action of a third party: If a man
chooses to answer for the voluntary
act of a third person, there is no reason in law or justice why he should not
be held for his inability to procure that act.
Strikes, lock-outs, civil disturbances and riots do not discharge a contract
unless there is a clause in the contract to that effect.Partial impossibility: Where a
contract is entered into for more than
one purpose, the contract would not become impossible, if one of the objects
has become impossible to achieve. Consequences of Supervening Impossibility
Supervening impossibility makes a
contract void. The parties are discharged from their respective obligations
under the contract (Sec. 65). The party who has received any advantages under
it should restore it to the other party.
Tags : Business Environment and Law-Performance And Discharge Of Contracts
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