Meghiúsulás

Meghiúsulás is a Hungarian legal term that translates to "frustration" or "impossibility" of performance. It refers to a situation where a contractual obligation cannot be fulfilled due to circumstances that arise after the contract's formation, which are beyond the control of either party. This can include natural disasters, war, or significant legal changes that make the performance impossible.

When a contract is frustrated, the legal consequences typically involve the termination of the contract. Neither party is usually held liable for damages caused by the non-performance, as the impossibility is not attributable to their fault. The specific rules and remedies for meghiúsulás are detailed in the Hungarian Civil Code.

For instance, if a contract is made to deliver goods that are subsequently destroyed in an unforeseeable fire, the seller's obligation to deliver may be considered frustrated. Similarly, if a law is passed that prohibits the activity that was the subject of the contract, it can lead to meghiúsulás. The key element is that the impediment must be external, unforeseeable at the time of contracting, and make performance genuinely impossible, not merely more difficult or expensive. The concept aims to achieve fairness by relieving parties from obligations that have become impossible to fulfill through no fault of their own.