Posted on

Agreement Has Not Been Frustrated

Agreement Has Not Been Frustrated: An Overview

When it comes to contractual agreements, the principle of agreement has not been frustrated is a key concept to understand. This principle refers to the idea that a contract can only be terminated or voided under certain circumstances, and frustration of the agreement is not considered one of them.

What Does “Agreement Has Not Been Frustrated” Mean?

To put it simply, the principle of agreement has not been frustrated means that just because something unexpected or unforeseen has happened, it does not necessarily mean that the contract is voided or terminated.

For example, let’s say a company contracts with a vendor to provide goods or services at a certain price. However, due to unforeseen circumstances, such as a natural disaster or government-mandated shutdown, the company is unable to fulfill its end of the bargain. In this case, the vendor cannot simply terminate the contract because the agreement has not been frustrated.

According to common law, for frustration to occur, the event in question must make it impossible for the contract to be carried out in the way it was originally intended. Additionally, the event must not have been foreseeable at the time the contract was formed and must be beyond the control of both parties.

Examples of Events That May Frustrate a Contract

While agreement has not been frustrated is a general rule, there are certain instances where frustration of a contract may be justified. These include:

1. Destruction of Subject Matter

If the subject matter of the contract is destroyed, such as a building or a piece of equipment, it may no longer be possible to fulfill the terms of the contract.

2. Personal Incapacity or Death

If one of the parties to the contract becomes incapacitated or dies, the contract may become impossible to fulfill.

3. Legal Restrictions

If a new law or regulation is enacted that prohibits the parties from fulfilling the terms of the contract, it may be considered frustrated.

4. Change in Circumstances

If a significant change in circumstances occurs that makes it impossible to fulfill the contract, such as a drastic change in market conditions or economic upheaval, the contract may be frustrated.


The principle of agreement has not been frustrated is an important concept to understand when it comes to contractual agreements. While there are certain instances where frustration of a contract may be justified, it is important to remember that unexpected events do not automatically void or terminate a contract. As a professional, it is essential to ensure that any legal content related to contracts or business agreements is clear, concise and accurate in order to avoid any confusion or misunderstanding among readers.