Performance of Contract 2 Flashcards
Who can perform contract
1- Case of single promisor
- Promisor
- Agent or legal representative
Exceptions:
- Contract of personal nature
- Promisor himself perform
2- By third party (with consent of promisee)
Rules of joint promise
1- Liability to perform joint promise (Jointly and severally)
2- Liability in case of default (other promisor will bear loss)
3- Liability in case of death (devolution) (legal representative are liable)
4- Release of joint - promisor
- joint promisor not discharge
- liable to other promisor
Right to demand performance
1- joint promisees can claim together
2- One promisee cannot demand performance
If time and place is specified
Contract performed at specified time and place
If time is not specified
- On working day, within usual business hours
- At reasonable time (Question of fact)
If place is not specified
- Promisor asks
- Promisee specify reasonable place ( Question of fact )
Order of performance of reciprocal promises
(Rules regarding performance of reciprocal promises)
1- Promises performed simultaneously (Mutual and Concurrent)
- Performed simultaneously
- Not by one-Not by other
2- Order of performance is fixed (Mutual and dependant)
- Perform in specified order
- Not by one-not by other
3- Order of performance is not fixed (Mutual and independent)
- Perform in order which nature of transaction requires
4- Legal and illegal
- Alternative promises (legal and illegal) , only legal part can be enforced
- Different agreement (first legal and then illegal) , legal set can be enforced
5- Refusing party to perform promise
- One party prevent other to perform
Remedies for non - performance
- Contract becomes voidable
- Damages for breach
- Compensation (for part already performed)
Consequences of non - performance
(Time is Essence)
(Agreed , Injury , Nature)
- Voidable
- If party rescinds , it can sue for breach of contract
- party can claim compensation (Provided , Notice is given at time of acceptance)
Consequences of non - performance
(Time is not essence)
- Not voidable
- party can claim compensation