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Discuss the role of hardship clauses in controlling liability by contract.
Member rating: No Rating | Words: | Submitted: Tue Oct 26 2004
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TOPIC: DISCUSS THE ROLE OF HARDSHIP CLAUSES IN CONTROLLING LIABILITY BY CONTRACT. Introduction The fundamental principle of the law of contract is that the parties to a contract must carry out their contractual obligations. The principle of hardship operates as a modification of the principle of pacta sunt servanda; it gives relief to a party where performance of a contractual obligation due to change of circumstances becomes extremely onerous. This essay will discuss the role of hardship clauses in controlling liability by contract. The first part briefly states the key elements of hardship clauses. The second part considers the role of hardship clauses in controlling liability from a theoretical perspective whilst the third part undertakes an analysis of the elements of hardship clauses with a view to finding out when such clauses can be used to limit liability under a contract. The fourth part discusses the obligation to renegotiate, and...
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