Discharge: Performance And Breach

Question 1

Cutler v Powell

Answer 1

General rule: Performance must be complete and exact or it will be a breach of contract

Question 2

Richie v Atkinson

Answer 2

Exception of general rule:
Divisible contracts
- contracts can be divided into separate parts so breach of one part doesn’t necessarily mean breach of entire contract
(Still breach but only for parts not performed)

Question 3

Hoeing v Isaacs

Answer 3

Exception from general rule: 
Substantial performance 
- if work has been substantially performed but not fully completed/minor defects 
- need to pay as much as work was worth 
- can be successfully discharged

Question 4

Bolton v Mahadeva

Answer 4

Contrasts Hoenig v Isaacs

- not enough work done (not substantial performance

Question 5

Planche v Colburn

Answer 5

Exception from general rule:
Prevention of full performance
- one party prevents the other from performing the contract, this may not be breach as it’s not the party’s fault

Question 6

Sumpter v Hedges

Answer 6

Exception from general rule:
Acceptance of partial performance
- a party fails to complete performance but V of breach can accept this and pay for what’s provided instead of taking legal action
- acceptance has to be voluntary (no pressure)
UNLIKE IN THIS CASE THEY WERE NOT ACCEPTING PARTIAL PERFORMANCE

Question 7

Timing of performance generally

Answer 7

Terms concerning time at which performance should be completed are usually classed as innominate terms

Question 8

Exception to general rule of timing of performance - shown by Union Eagle v Golden Achievement

Answer 8

1. Contract expressly states time is of the essence
2. Party gives notice time is of the essence during contract being performed
3. Circum of the contract/subject matter make it clear that time is of the essence

Question 9

Remedies for condition, warranty, innominate terms

Answer 9

Condition- repudiate/ choose to get damages
Warranty- damages only
Innominate terms- depends on seriousness of breach

Question 10

Hochester v De La Tour

Answer 10

Type of breach: anticipatory

- one party indicates in advance not going to perform contract (without lawful excuse)

Question 11

Remedies for anticipatory breach

Answer 11

Sue then and there

Wait for actual breach as there may be more damages than thought (risk of contract becoming frustrated)