Discharge: Breach Flashcards

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1
Q

What are the steps for discharge by breach?

A

Define
Actual
Anticipatory
Remedies

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2
Q

What is breach?

A

Not completing the obligations stated in the contract

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3
Q

What is the distinguishing factor between anticipatory and actual breaches?

A

Anticipatory breaches happen before or at the time of performance
Actual breaches happen at the time of or during performance

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4
Q

What are the steps for an anticipatory breach?

A

Define
3 choices: sue immediately, wait, perform their part
Remedies

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5
Q

When can the victim sue for an anticipatory breach?

A

As soon as they are told that performance will not take place (immediately) or after the time of performance elapses (when the breach actually occurs)

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6
Q

What are the 2 circumstances where a breach is anticipatory?

A

Renunciation before or at the time of performance.
Impossibility created by their own act before or at the time of performance

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7
Q

Which case shows when the victim can sue for an anticipatory breach?

A

Hochster v De La Tour

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8
Q

Which case shows that an anticipatory breach occurs when renunciation happens?

A

Geden v Dry Bulk

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9
Q

What are the victim’s 3 choices of action after an anticipatory breach?

A

Sue immediately
Wait and see if they perform or not
Perform the contract anyway (ignore breach)

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10
Q

Which case shows the victim can wait and see if the other party perform or not after an anticipatory breach?

A

Avery v Bowden

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11
Q

Why might it be a bad idea for the victim to wait and see if the other party perform or not after an anticipatory breach?

A

If they don’t perform, the victim may lose the chance to sue if something else happens e.g. frustration as in Avery v Bowden

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12
Q

What does it mean if the victim chooses to perform the contract anyway after an anticipatory breach?

A

They perform their part of the contract and are entitled to damages if the other party do not perform their obligation

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13
Q

Which case shows a victim choosing to perform the contract anyway after an anticipatory breach?

A

White & Carter v McGregor

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14
Q

What are the steps for an actual breach?

A

Define
Repudiatory vs non-repudiatory
Breach of terms: conditions, warranties, innominate terms
Remedies

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15
Q

What is the circumstance where a breach is actual?

A

Total or partial failure of performance at the time of or during the performance

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16
Q

What is a repudiatory breach?

A

A breach that entitles the innocent party to either treat the contract as at an end, or sue for damages, but not both

17
Q

Which case shows the definition of a repudiatory breach?

A

Hong Kong Fir Shipping v Kawasaki Kisen Kaisha (Hong Kong case)

18
Q

What is a non-repudiatory breach?

A

A breach that entitles the innocent party to sue for only damages

19
Q

What is the remedy for the breach of a condition?

A

Repudiation (and/or damages)

20
Q

What is the remedy for the breach of a warranty?

A

Damages

21
Q

What is the remedy for the breach of an innominate term?

A

It is decided whether it is equivalent to a condition or warranty and then the respective remedy occurs

22
Q

Which case shows the remedy for the breach of a condition?

A

Poussard v Spiers

23
Q

Which case shows the remedy for the breach of a warranty?

A

Bettini v Gye

24
Q

Which case shows the remedy for the breach of an innominate term?

A

Hong Kong Fir Shipping v Kawasaki Kisen Kaisha (Hong Kong case)

25
Q

What are the possible remedies for an anticipatory breach?

A

Damages (that put them back in the position they would have been in if the contract had been performed)
Repudiation

26
Q

What are the possible remedies for an actual breach?

A

Damages (that put them back in the position they would have been in if the contract had been performed), but they are assessed at the time when performance should occur
Specific remedies for breaches of conditions, warranties, and innominate terms