Chapter 7 Updates to the Law

Frustration
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Chapter 7: Frustration

7.3.1. Legal impossibility

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The High Court has recently reaffirmed the general rule that the ‘validity and enforceability of a contract governed by English law is not affected by whether the contract would be regarded as valid or whether its performance would be lawful under the law of another country’ unless: (i) performance would be unlawful in the place of performance; or (ii) the contract’s object and intention is the performance in a ‘friendly foreign country’ of an act which is illegal under the law of that country (Dana Gas PJSC v Dana Gas Susak Ltd [2017] EWHC 2928 (Comm); [2018] EWHC 278 (Comm)) at [29]-[302]).