BREACH Flashcards
does not discharge contract but allows one party treating it as a discharged contract
ACTUAL BREACH
AN ACTUAL FAILURE OF A PARTY TO PERFORM THEIR OBLIGATIONS UNDER THAT CONTRACT OR AN INDICATION OF HIS INTENTION TO DO SO
REMEDIES AVAILABLE…
DAMAGES ARE AVAILABLE FOR A BREACH OF ANY CONDITION (WARRANTY OR INNOMINATE)
PURPOSE TO PUT THE AGGRIEVED PARTY FAR AS POSSIBLE IN THE POSITION THEY WOULD HAVE BEEN had the contract been properly performed
(robinson v harman)
anticipatory breach
Where a party indicates their intention not to perform their contractual obligations, the innocent party is not obliged to wait for the breach to actually occur before they bring their action for breach
it can be explicit (holchester v de la tour)
or implict (frost v knight)
effect of an anticipatory breach
innocent party
- may sue for damages immediately rather than wait for breach to occur
- does not have to wait for the date of the performance of the contract
however innocent party may not accept repudiation and may affirm contract and continue doing their obligation
where party decides to affirm the contract it has two disadvantages
INNOCENT PARTY…
- lose the right to sue for damages completely if contract is frustrated btw date of anticipated breach and date fixed for performance
(AVERY V BOWDEN)
- WHO AFFIRMS CONTRACT BUT SUBSEQUENTLY BREACHES THE CONTRACT CANNOT ARGUE THE ANTICIPATED BREACH EXCUSED THEM FROM THIER CONTRACTUAL OBLIGATIONS THIS MEANS INNOCENT PARTY CAN FIND THEMSELVES LIABLE TO PAY DAMAGES