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Frustrating Delay

Law and Sea.
Frustration takes place without fault and volition from either side.

… happening of frustrating event cannot be in any way influenced by the parties to the contract.

Frustrating Event
Last updated: 21-Jun-2015

Lord Watson says in Dahl v Nelson, Donkin & Co (1881) 6 App Cas 38, 59 that:

…there may be many possibilities within the contemplation of the contract of charterparty which were not actually present to the minds of the parties at the time of making it, and, when one or other of these possibilities becomes a fact, the meaning of the contract must be taken to be, not what the parties did intend (for they had neither thought nor intention regarding it), but that which the parties, as fair and reasonable men, would presumably have agreed upon if, having such possibility in view, they had made express provision as to their several rights and liabilities in the event of its occurrence.

In Bank Line v Arthur Capel & Co [1919] A. C. 435, Per Lord Sumner:

… Rights ought not to be left in suspense or to hang on the chances of subsequent events. The contract binds or it does not bind, and the law ought to be that the parties can gather their fate then and there. What happens afterwards may assist in showing what the probabilities really were, if they had been reasonably forecasted, but when the causes of frustration have operated so long or under such circumstances as to raise a presumption of inordinate delay, the time has arrived at which the fate of the contract falls to be decided. That fate is dissolution or continuance and, if the charter ought to be held to be dissolved, it cannot be revived without a new contract. The parties are free.

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