Heavy metal band, The Nasties, has contracted to perform on Boxing Day evening at a popular hotel in Melbourne. One term of the contract states that the band will play all their hit songs. Because of the obscene and racist lyrics, The Nasties' songs have been banned in many countries. The band has only played for 20 minutes of the planned two-hour Boxing Day concert when the police arrive and order them to stop playing because of complaints about the obscene and offensive lyrics.

The Hotel manager refuses to pay the band for the concert claiming that the contract has been discharged due to frustration. Applying the rules of frustration discuss the arguments for and against the parties being discharged from the contract.