Chapter 13 Flashcards
Minor Breach
a breach of a non-essential term of a contract or of an essential term in a minor respect
Major Breach
a breach of the whole contract or of an essential term so that the purpose of the contract is defeated
Express repudiation
one of the contracting parties communicates to the other that it does not intend to perform as promised
anticipatory breach
an express repudiation that occurs before the time agreed for performance
Substantial Performance
performance that does not comply in some minor way with the requirements of the contract
Quasi-contract
an obligation that may arise not as a result of contractual relations but because one party has received an unfair benefit at the expense of the othe
Unjust enrichment
an unfair benefit
Drawing Party
the contracting party that prepared the agreement or the particular clause
unconscionable terms
terms agreed to by parties of unequal bargaining power that give an unfair advantage to the powerful party over the weaker party
Damages
Damages are awarded to place the injured party in the position he would have been in if the contract had been properly completed.
Mitigation
action by the injured party to reduce the extent of loss caused by the other party’s breach
Liquidated Damages
an amount agreed on to be paid in damages by a party to a contract if it should commit a breach
Penalty clause
a term specifying an exorbitant amount for breach of contract, intended to frighten a party into performance
Expectation Damages
an amount awarded for breach of contract, based on expected benefits or profits
Specific performance
an order requiring a defendant to do a contracted-for act, usually to complete a transaction
