performance and breach

Question 1

what does discharge mean?

Answer 1

when a valid contract comes to an end

Question 2

what are the 3 ways that discharge can happen?

Answer 2

-successful performance
-contract is breached
-contract is frustrated

Question 3

what is the main case for defining performance?

Answer 3

Cutter v Powell

Question 4

what does cutter v powell say about performance?

Answer 4

performance must be complete and exact or it will breach the contract

Question 5

what are the 4 exceptions to performance being complete and exact?

Answer 5

-divisible contracts
-substantial contracts
-prevention of full performance
-acceptance of partial performance

Question 6

what are divisible contracts?

Answer 6

where the contract can be divided into parts so that the breach does not effect the entire contract

Question 7

what is the case for divisible contracts?

Answer 7

Richie v Atkinson

Question 8

what is a substantial contract?

Answer 8

if a party has done most of the contract, the other party will pay the full price minus the missing performance

Question 9

what are the 2 cases for substantial contract?

Answer 9

-Hoeing v Isaacs (successful)
-Bolton v Mahadeva (unsuccessful)

Question 10

what does Hoeing v Isaacs say?

Answer 10

if work required has been substantially been performed, then it is possible to successfully discharge it rather than it be breached

Question 11

what is prevention of full performance?

Answer 11

if one party prevents the other from fully performing the contract, then it may not be a breach as it is not the party’s fault

Question 12

what is the case for prevention of full performance?

Answer 12

Planche v Colburn

Question 13

what is acceptance of partial performance?

Answer 13

if a party fails to complete the full contract, the other party can choose to accept this and only pay for what has been done

Question 14

what is the case for acceptance of partial performance?

Answer 14

Sumpter v Hedges

Question 15

what are terms that classify when the performance must be done?

Answer 15

innominate terms

Question 16

what is the exception for timing being an innominate term?

Answer 16

when time is of the essence

Question 17

what does ‘when time is of the essence’ mean? what will this make the term?

Answer 17

-a condition
-if the contract expressly states time is of the essence
-one party gives notice to the other party that time is of the essence while the contract is being performed
-the circumstances or the subject matter of the contract make it clear time is of the essence

Question 18

what is the case for time of the essence?

Answer 18

Union Eagle v Golden Achievement

Question 19

what are the 2 types of breach?

Answer 19

-actual breach
-anticipatory breach

Question 20

what is an anticipatory breach?

Answer 20

where one party notified the other that they will not complete the contract without lawful excuse

Question 21

what can be the response to anticipatory breaches?

Answer 21

-immediately sue
-wait until the breach takes place and then sue

Question 22

what is the case for anticipatory breach?

Answer 22

Hochster v De La Tour