Impracticability
Impracticability is a contract defense that excuses performance when an unforeseen event makes performance extremely and unreasonably difficult or expensive, though not strictly impossible.
Exam Tip
Impracticability = EXTREME burden, not just increased cost. Financial difficulty alone NEVER qualifies.
What is Impracticability?
Impracticability excuses performance when circumstances make it extremely difficult or expensive, even though technically possible.
Elements (Restatement)
| Element | Description |
|---|---|
| Supervening Event | Unforeseen occurrence |
| Basic Assumption | Non-occurrence was assumed |
| Extreme Difficulty | Not merely more expensive |
| Not Party's Fault | Didn't cause condition |
What Qualifies
| Qualifying | Not Qualifying |
|---|---|
| Severe cost increase (10x) | Market price changes |
| War/embargo | Moderate increases |
| Supply disruption | Financial difficulty |
UCC Section 2-615
Commercial impracticability for goods - more flexible than common law.
Study This Term In
Related Terms
Impossibility (Contract Defense)
Impossibility is a contract defense that excuses performance when an unforeseen event makes performance objectively impossible, such as destruction of the subject matter, death of a necessary party, or supervening illegality.
Frustration of Purpose
Frustration of purpose is a contract defense that excuses performance when an unforeseen event substantially destroys the principal purpose of the contract, even though performance remains physically possible.
10 free AI interactions per day
Stay Updated
Get free exam tips and study guides delivered to your inbox.