Case brief summary
If both sides made a deal only because of a specific event, and that event becomes impossible without anyone's fault, the law can excuse both sides, even if the contract doesn't say so.
Facts
A man rented a room to watch the King's coronation procession, paying a deposit. When the King got sick and the procession was cancelled, he refused to pay the rest.
Procedural history
The room owner sued for the unpaid balance, and the renter counterclaimed to get his deposit back. The trial judge ruled for the renter on both the claim and counterclaim, and the room owner appealed to the Court of Appeal.
Issue
Even though the written agreement never mentioned the coronation procession, should the court treat the happening of the procession as an unstated but essential foundation of the deal, so that its cancellation excused the renter from paying?
Holding
The Court of Appeal agreed with the trial judge that the procession taking place was the basic foundation both sides assumed when they made the deal, so the renter did not have to pay the rest of the money.
Reasoning
Clues like the ad and high price showed both sides knew watching the procession was the real point. Since neither side could have prevented the cancellation, the payment promise didn't apply.
Opinions
Majority (Vaughan Williams LJ): The procession was the unstated foundation of the contract, so its cancellation excused the renter from paying the balance.
Concurrences (Romer LJ, Stirling LJ): Despite some hesitation, both judges agreed the procession was clearly the shared basis of the deal and joined the main reasoning.