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  • Hochster v. de La Tour

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    crlstinaaa
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    Parties enter into agreement, where P would work for D beginning June 1. On May 11th, D wrote to P that he had changed his mind, and declined P's services. Court says P can seek other employment before date of rescinded contract was supposed to start.

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    Hochster v. De La Tour

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    Parties enter into agreement, where P would work for D beginning June 1. On May 11th, D wrote to P that he had changed his mind, and declined P's services. Court says P can seek other employment before date of rescinded contract was supposed to start.

    Drepturi de autor:

    Attribution Non-Commercial (BY-NC)
    Descărcați ca TXT, PDF, TXT sau citiți online pe Scribd
    Indicator pentru conținut neadecvat
    2K vizualizări1 pagină

    Hochster v. de La Tour

    Încărcat de

    crlstinaaa
    Parties enter into agreement, where P would work for D beginning June 1. On May 11th, D wrote to P that he had changed his mind, and declined P's services. Court says P can seek other employment before date of rescinded contract was supposed to start.

    Drepturi de autor:

    Attribution Non-Commercial (BY-NC)
    Descărcați ca TXT, PDF, TXT sau citiți online pe Scribd
    Indicator pentru conținut neadecvat
    din 1

    Right to suspend performance or cancel upon prospective inability or breach

    Case: Hochster v. De La Tour (1853, Eng) [pp. 863-868]

    Facts: Parties enter into agreement, where P would work for D beginning June 1.
    On May 11th, D wrote to P that he had changed his mind, and declined P's services.
    P commenced the lawsuit on May 22nd. Btwn that time and June 1st P found another
    job.

    Issue: Is suing for the breach before the date of performance premature?

    Holding: Court holds for P.

    Reasoning: Court says P can seek other employment before date of rescinded
    contract was supposed to start. When a party clearly repudiates a material promise
    in advance, the other may treat this as a breach immediately and can seek relief
    for breach without delay.

    Notes
    • D says: you cant sue m until June 1. Maybe I'll call you May 31st and say I want
    you. A repudiation is not a breach.
    • P says: No, as soon as you repudiate, you breached
    • Court says, P doesn’t have to sit around until June 1st
    • If D is right, then P entering into another agreement, he would be breaching.
    ○ Court says after the repudiation of the agreement, the P can consider
    himself absolved from performance under the K
    ○ Why rely on something that you've already been told wont happen
    ○ Mitigation of damages - why should he sit around if he could be mitigation
    damages?
    • How do we know what the damages are?

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