Impossibility

Definition

Impossibility is a doctrine of contract law that excuses a party from performing contractual obligations when performance becomes physically impossible due to circumstances beyond their control.

Purpose

The doctrine of impossibility ensures fairness by releasing parties from their contractual duties when unforeseen events render performance unachievable, preventing undue hardship.

Examples of Use

• A natural disaster destroys the subject matter of a contract, making performance impossible.
• New laws or regulations prohibit the contracted activity.

Related Terms

• Force Majeure: A clause in contracts that frees both parties from liability or obligation when an extraordinary event or circumstance beyond their control occurs.
• Frustration of Purpose: A related doctrine that excuses performance when an unforeseen event undermines the contract's principal purpose.
• Breach of Contract: The failure to perform what a party is obligated to do under a contract.

Notes

The impossibility must be objective, meaning no one could perform the contract under the circumstances, and not merely due to the party's inability to perform.