Herne Bay Steamboat Co v Hutton
Encyclopedia
Herne Bay Steamboat Co v Hutton [1903] 2 KB 683 is a case on the subject of frustration of purpose
. It is one of a group of cases arising out of the same event, known as the coronation cases
.
, who deemed the contract was not frustrated, and the balance in full was due to the plaintiff. At first this may seem contradictory to Krell v Henry. However, it can be explained by reference to the agreement the parties reached; the hiring was not merely to witness the naval review, but also for a cruise around the fleet. This purpose was still entirely possible, as explained by Stirling LJ:
Frustration of purpose
In the law of contracts, frustration of purpose is a defense to enforcement of the contract. Frustration of purpose occurs when an unforeseen event undermines a party's principal purpose for entering into a contract, and both parties knew of this principal purpose at the time the contract was made...
. It is one of a group of cases arising out of the same event, known as the coronation cases
Coronation cases
The Coronation cases were a group of appellate opinions in English law cases, all arising out of contracts that had been made for accommodation for viewing the celebrations surrounding the coronation of King Edward VII, originally scheduled for June 26, 1902...
.
Facts
The defendant, Mr Hutton, contracted to hire a steamship, named Cynthia, on June 28 and 29, 1902. This was following a public announcement that a Royal naval review was to take place at Spithead on that day. The contract was "for the purpose of viewing the naval review and for a day's cruise round the fleet". Following the cancellation of the coronation, and of the naval review, the defendants refused payment, stating the contract was frustrated in purpose.Judgment
Whilst at first instance the defendant succeeded in this argument, it was reversed by the Court of AppealCourt of Appeal of England and Wales
The Court of Appeal of England and Wales is the second most senior court in the English legal system, with only the Supreme Court of the United Kingdom above it...
, who deemed the contract was not frustrated, and the balance in full was due to the plaintiff. At first this may seem contradictory to Krell v Henry. However, it can be explained by reference to the agreement the parties reached; the hiring was not merely to witness the naval review, but also for a cruise around the fleet. This purpose was still entirely possible, as explained by Stirling LJ:
See also
- Krell v Henry
- Chandler v WebsterChandler v WebsterChandler v Webster [1904] 1 KB 493 is an English contract law case, concerning frustration. It is one of the many coronation cases, which appeared in the courts after King Edward VII fell ill and his coronation was postponed.-Facts:...
- Frustration in English lawFrustration in English lawFrustration in English law is an English contract law doctrine, which acts as a device to set aside contracts where an unforeseen event either renders contractual obligations impossible, or radically changes the party's principal purpose for entering into the contract...