(See, Whether performance is excused often depends on the event that makes performance impossible or unfeasible, and whether that event was contemplated under the contract. Doctrine of Impossibility the contract law concept SC says also The court further noted that the lease's force majeure clause specifically provided that the nonpayment of rent was not an excusable default but instead extended the period of performance for the amount of time the delay caused. Frustration of Purpose in California Due to Coronavirus? - Talkov Law Breaking Ground: West Coast Real Estate and Land Use Blog, Retail and Commercial Development and Leasing Blog, Bankruptcy, Restructuring and Creditors' Rights. Florida, Miami Div., Jan. 27, 2021, 2021 WL 564486). A restaurant is closed due to the coronavirus pandemic. New York courts, for example, consider several factors when determining whether the doctrine of impossibility might excuse a contracting party's performance--the foreseeability of the event occurring, the fault of the non-performing party in causing or not providing protection against the event, the severity of harm and other circumstances affecting the just allocation of risk. Landlord 1600 Walnut Corporation sought to recover rental payments owed. It is settled that if parties have contracted with reference to a state of war or have contemplated the risks arising from it, they may not invoke the doctrine of frustration to escape their obligations Northern Pac. Addressing Louboutin's impossibility argument, the court points out that the pandemic did not bar the tenant from selling its products it merely reduced foot traffic in the store's area. To establish the defense of impossibility, a contractor must show that performance was objectively impossible. To make out the defense of impracticability, businesses will generally need to show: 1) There was a contingency, the non-occurrence of which was a basic assumption underlying the contract; 2) the risks associated with the contingency were not assigned to either party; and 3) the promisor was not responsible for the difficulties in performance.
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