Frustration of Purpose Law and Legal Definition

Frustration of purpose is a term used in contract law to refer to a change in circumstances makes one party’s performance of no value to the other party. It involves more than a loss of expected profit or minor disappointment and must involve the defeat of the primary reason for entering the contract. The person seeking relief must not have contributed to the fault. The burden is on the party seeking relief to prove that the risk of the frustrating event was not reasonably foreseeable and that the value of counter-performance is completely or almost completed negated by the frustration.