Voidness also normally means that any money that was

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Voidness also normally means that any money that was paid or property that was transferred under the contract can be recovered by the party who paid or transferred it to the other.
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© Stephen Graw 2012 40 6.1 Terminating a Contract Means of discharge A contract may be discharged (brought to an end), in one of five ways: by performance; by agreement; through frustration; through breach; or by operation of law. Unless one of these five occur the contract remains on foot and both parties can require that it be performed and, if necessary, can seek the court’s assistance in enforcing it. Where one of the five occurs the contract terminates, the obligations under it cease and the rights of the parties then depend on the specific rules that apply in each case. 6.1.1 Discharge by performance A contract is discharged by performance when both parties have completely performed all of their obligations under it. The only critical requirement is that the performance must generally be complete and exact. Therefore, a contract of sale will normally be discharged by performance once the seller has delivered the goods and the buyer has accepted and paid for them — because at that point both parties have completely done all that was required of them under their agreement. If the contract has not been completely performed, the party at fault can incur any of a range of penalties — from a reduction in the performance that he or she can demand in return (for example, he or she might only get part of the agreed purchase price) to a complete loss of all rights under the contract (getting none of the price because the job was not completed). Usually however this latter penalty only applies if the default deprives the other party of substantially the whole benefit that he or she expected from the contract. 6.1.2 Discharge by agreement Contracts can be both discharged and varied by agreement — usually because the parties realise that what was originally agreed cannot be performed as they had intended. The agreement to discharge a contract is itself a contract and, therefore, normally it will involve its own mutually enforceable promises. These normally take the form of, ‘If you agree to release me from my remaining obligations, I will release you from yours’. The thing to be careful of with such agreements is that they must meet all the requirements of a valid contract. This means that they must be supported by consideration (usually the mutual promises) or be entered into under seal (especially if only one party has any outstanding obligations) and, in appropriate cases, they may also have to be in writing. 6.1.3 Discharge through frustration Frustration occurs whenever performance of a contract becomes impossible without any fault by either of the parties. It has arisen in cases where the subject matter of the contract has been destroyed before performance, where war or other similarly serious events have intervened to prevent performance, where planned events on which the contract depended
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