1948-HKRS28-8-15_Part02 — Page 20

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HONG KONG

20 OF 1948.

I assent.

Governor.

17th June, 1948.

An Ordinance to amend the law relating to frustration of contracts.

[17th June, 1948.]

Be it enacted by the Governor of Hong Kong, with the advice

and consent of the Legislative Council thereof;

t. This Ordinance may be cited as the Law Reform Short tids. (Frustrated Contracts) Ordinance, 1948.

2. In this Ordinance--

FI

J1 court

includes any arbitrator by or before whom the matter falls to be determined,

Interpretation.

3. (1) Where a contract governed by law applicable to the Adjustment Colony has become impossible of performance or been otherwise of right and frustrated, and the parties thereto have for that reason been abilities of discharged from the further performance of the contract, the rustrated following provisions of this section ahall, subject to the provisions contracts. of section 4 of this Ordinance, have effect in relation thereto.

(2) All same paid or payable to any party in pursuance of the contract before the time when the parties were so discharged (in this Ordinance referred to as the time of discharge "') shall, in the case of sums so paid, be recoverable from him as money rereived by him for the use of the party by whom the sums were paid, and, in the case of sums so payable, cease to be so payable: Provided that, if the party to whom the sums were so paid or payable incurred expenses before the time of discharge in, or for the purpose of, the performance of the contract, the court may,

parties to

I

บ.