Frustration of contract

COVID-19 and the Doctrine of Frustration in Hong Kong

In our recent article we discussed the legal ramifications of the force majeure clauses to “excuse” parties from performing onerous or impossible contracts in the wake of the COVID-19 outbreak. Whilst it is not uncommon for commercial contracts to incorporate force majeure clauses, there remain circumstances under which a party may also consider to seek to relieve themselves from performing under the common law doctrine of frustration.