Facts
- A contract is entered into to display an illuminated sign
- Part of the contract was a clause that stated rent was still payable even if the building was “extinguished or deferred”
- The building where it was displayed was demolished.
- Hardie argued the contract had been frustrated and they should not have to pay the remaining rent.
Issue
- Was the contract frustrated?
Held
- Due to the clause, no frustration occurred as this had been accounted for in the contract
- So they had to pay the rent
Relevance
- This case demonstrates that where a frustrating event occurs, but has been provided for in the contract, it should be dealt with according to the contract.
-- Download Claude Neon Ltd v Hardie [1970] Qd R 93 as PDF --

