[1] Fraser ran a dental practice, and in 1936 he entered into a contract with Rayneon to lease a neon sign advertising his business.

The lease was for a term of 5 years, however in the government passed the Dentists Advertising Regulations (1938) making any advertisements that did not meet the requirements of the regulation illegal.

As a result, the dentist ceased paying the remaining lease payments, claiming the contract was now not legally enforceable due to frustration.

The court held that due to the new legislation, the contract was now frustrated, meaning that the dentist did not have to pay the remaining lease payments.

Note this case was decided under common law.