Performance Of Contracts - II

Question 1

Who can perform the contract (in case of single promisor)?

Answer 1

A contract can be performed by promisor or his agent or his legal representatives (in case of death of promisor)
However agent or Legal representative can’t perform the contract if:
° contract is is of personal nature (e.g. marriage, art-work), or
° it was agreed that promisor himself will perform.

Question 2

Can third party perform the contract?

Answer 2

A third party (i.e. stranger to the contract) can also perform the contract with the consent of promisee. If a promisee accepts the performance from third party, he can’t demand it from promisor afterwards.

Question 3

What are the rules regarding performance of joint promise?

Answer 3

Following rules apply, unless agreed otherwise:
1. Liability to perform Joint Promise
2. Liability in case of default of a Joint promisor
3. Liability in case of death
4. Liability in case of release of a Joint promisor.

Question 4

What is the Liability of Joint Promisors to perform the Joint Promise?

Answer 4

Joint Promisors are jointly and severally liable to perform the contract. Even a single promisor can be compelled to perform whole contract. However, if a joint Promisor pays more than his share, he can claim equal contribution from the other promisors.

Question 5

What is the Liability of other joint promisors in case of default of one of the joint Promisors?

Answer 5

If a joint Promisor defaults, other joint promisors will bear the loss equally.

Question 6

What is the Liability of Joint Promisors in case of death of one or more joint promisors?

Answer 6

If a promisor dies, his legal representatives are liable along with other joint promisors.
If all promisors die, their legal representatives are liable jointly.
However, the Liability of legal representatives is limited to the amount of estate of the deceased.

Question 7

What is the Liability of other joint promisors in case of release of a joint Promisor by promisee?

Answer 7

If promisee releases a joint Promisor from his liability, other joint promisors are not discharged from their liability.
Moreover, such released person is also liable to contribute to other promisors.