A lessor had covenanted that neither he nor his assigns would build on a piece of land adjoining the demised premises. A railway company, under powers derived from a subsequent private Act, compulsorily acquired the land and erected a station on it.
Held: This relieved the lessor from his liability under the lease.
Liability to perform a contract may be discharged where events occur which would mean that continued liability would be ‘not to maintain the original contract, but to substitute a different contract for it.’
Hannen J said: ‘to hold a man liable by words in a sense affixed by legislation subsequent to the contract is to impose on him a deal he never made.’
Judges:
Hannen J
Citations:
[1869] LR 4 QB 180, (186) LR 4 QB 180
Jurisdiction:
England and Wales
Citing:
Cited – Brewster v Kitchell 1795
‘Where H covenants not do to an act or thing which was lawful to do, and an Act of Parliament comes after and compels him to do it, the statute repeals the covenant. So if H covenants to do a thing which is lawful, and an Act of Parliament comes in . .
Cited by:
Cited – Metropolitan Water Board v Dick Kerr and Co Ltd HL 26-Nov-1917
In July 1914 the appellants contracted with the respondents, a firm of contractors, for the construction of a reservoir which was to take six years to build. The work was started, but in February 1916 the Minister of Munitions ordered it to cease . .
Cited – Islwyn Borough Council and Another v Newport Borough Council CA 28-Jun-1993
Three local authorities disputed whether a contract had been made between them, and if so its terms, as to the financial support of a leisure centre.
Held: Later legislation need not frustrate agreement between the parties.
Hirts LJ said: . .
Lists of cited by and citing cases may be incomplete.
Contract
Updated: 10 May 2022; Ref: scu.266313