Discharge

Question 1

What is discharge?

Answer 1

The contract can be discharged if the parties have not fulfilled their obligations as agreed

Question 2

What are the 3 types of discharge?

Answer 2

Performance
Frustration
Breach

Question 3

What is the strict rule for discharge by performance?

Answer 3

The performance must be complete and exact

Question 4

What is the case for the strict rule of performance?

Answer 4

Cutter v Powell

Question 5

What are the 4 ways discharge by performance can be avoided?

Answer 5

Prevention on full performance
Acceptance of part performance
Divisible contracts
Substantial performance

Question 6

What is prevention of full performance?

Answer 6

One party prevents the other from carrying out the contract

Question 7

What is the case for prevention of full performance?

Answer 7

Planche v Colburn

Question 8

What is acceptance of part performance?

Answer 8

On party doesn’t have to complete the entire contract as the other party has consented

Question 9

What is the case for acceptance of part performance?

Answer 9

Sumpter v Hedges

Question 10

What are divisible contracts?

Answer 10

When there are separate parts of the contract and non completion of one part doesn’t breach the entire contract

Question 11

What is the case for divisible contracts?

Answer 11

Richie v Atkinson

Question 12

What is substantial performance?

Answer 12

A part has been done substantially (done enough)

Question 13

What is the case for substantial performance?

Answer 13

Darkin v Lee- not substantial

Question 14

When is time a condition for discharge by performance?

Answer 14

Expressly stated
Critical for contract
Not on time and party has insisted on another date

Question 15

What is the case for time in performance?

Answer 15

Union Eagle v Golden

Question 16

What are the 4 remedies for discharge by performance?

Answer 16

Quantum meruit- can claim for work
Repudiation
Specific performance
Damages

Question 17

What is the strict rule for frustration?

Answer 17

Bound to perform even if an intervening act made it impossible

Question 18

What s the case for the strict rule for frustration?

Answer 18

Paradine v Jane

Question 19

What is the current rule for frustration?

Answer 19

If there is an unforeseeable event which means the contract can no longer be performed neither party has to fulfil

Question 20

What are the 3 elements of frustration?

Answer 20

Impossible to complete
Illegal to perform
Radical change

Question 21

What can frustration not be applied?

Answer 21

Self induced
Less profitable or more difficult to complete
Foreseeable risk/ mentioned in contract

Question 22

What are the 3 ways a contract can be impossible to complete?

Answer 22

Subject matter destroyed
Subject matter unavailable
Person unavailable

Question 23

What is the case for subject matter destroyed?

Answer 23

Taylor v Caldwell

Question 24

What is the case for subject matter unavailable?

Answer 24

Jackson v Union Marine

Question 25

What is the case for person unavailable?

Answer 25

Condor v Baron Knights

Question 26

What does it mean if an obligation is not illegal to perform? (frustration)

Answer 26

Changes in the law make the contract illegal to perform

Question 27

What is the case for illegal to perform?

Answer 27

Denny, Mott, Dickson v James

Question 28

What does it man if there is a radical change?

Answer 28

If the main purpose is based on an event that cannot take place= frustrated

Question 29

What is the case for radical change?

Answer 29

Krell v Henry

Question 30

What does it mean by self induced?

Answer 30

The party is in control

Question 31

What is the case for self induced?

Answer 31

Maritime v Ocean Trawlers

Question 32

What does it mean by less profitable or more difficult to complete?

Answer 32

Not frustrated if they find fulfil because it was more difficult or less profitable

Question 33

What is the case for less profitable?

Answer 33

Paris v Fareham

Question 34

What is the case for foreseeable risk?

Answer 34

Amalgamated v John Walker

Question 35

What are the 2 types of breach?

Answer 35

Actual Anticipatory

Question 36

What is actual breach?

Answer 36

Has already happened

Question 37

What is anticipatory breach?

Answer 37

It is going to happen

Question 38

What are the 3 options for actual breach?

Answer 38

Continue and sue Repudiate Repudiate and sue

Question 39

What is the case for actual breach?

Answer 39

Rice v Great Yarmouth

Question 40

What are the remedies for discharge by frustration?

Answer 40

Common law Statute

Question 41

What are the remedies under common law?

Answer 41

Contract automatically terminated and future obligations don't have to be fulfilled Anything done or paid is lost- Chandler v Webster

Question 42

What are the remedies under statute?

Answer 42

Covers what happens after an event occurs

Question 43

What act is the remedies under statute?

Answer 43

Law reform (frustrated contracts) act 1943

Question 44

What does the Law Reform act 1943 say?

Answer 44

S.1(2): Money already paid is recoverable Any money that has to be paid no longer has to Oder compensation to be paid S.1(3): Compensation ordered for any valuable benefit one party may acquire