breach of a contract Flashcards
Actual breach definition
party failed to preform their obligation under the contract
However depends on which term is breached
Condition and warranty under actual breach
Condition, contract is ended/repudiated (poussard v spiers)
Warranty, contract must carry on but damages can be claimed ( bettini v gye)
Anticipatory breach
party gives notice in advance that they will not be preforming or completing the contract
condition and warranty under anticipatory breach
C chooses whether to sue immediately or wait for the consequences of the breach and then sue
Remedies
compensatory damages
c must prove that damages were caused by the ds breach, damages are meant to place the c in the same position as if the contract had been preformed
categories of recoverable loss 3
Loss of bargain- profits the c would have expected to receive, claim for loss of change (chaplin v hicks)
Reliance loss- wasted expenditure by c who relied on contract being preformed, spent in advance of contract
Restitution- repayment of any money or other benefits passed to D in advance of breach
duty to mitigate loss
injured party must take reasonable steps to minimise effects of breach
however C not bound to go to extraordinary lengths, only reasonable
equitable remedies
awarded where damages is an inadequate remedy, justice would not be served
This is at the courts
Injunction
court order telling you/ forcing you to stop doing something
only awarded if damages would not have been enough or not in the public interest (miller v jackson)
Can be tailored to meet needs of situation (kennaway v thompson)
specific performance
ordering one party to preform their contractual obligation
cannot claim if damages would be adequate or in contracts for personal services
Rescission
parties returned to positions they were in before contract was made
