Y
 





m

6 A breach of contract occurs if any party refuses or fails
to perform his part of the contract or by his act makes
it impossible to perform his obligation under the
contract.

6 In case of breach, the aggrieved party is relieved from

performing his obligation and gets a right to proceed
against the party at fault. A breach of contract may arise
in two ways,
M Anticipatory breach
M Actual breach
9

 

Anticipatory breach occurs when the party declares

his intention of not performing the contract before
the performance is due. Thus when a party refuses
to perform a contract even before it is due for
performance.
modes of declaring an intention not
performing the contract [Sec 39]
3When a party to a contract has refuse to
performed his promise.

E.g. X a former agrees to sell to Y his entire crop of

10 tons of wheat @ of 8000 per ton to be delivered
on 28th Oct. on 1st Oct, X informs Y that he is not
going to supply the goods. X has committed
Anticipatory breach of contract by express
repudiation.
3When a party to a contract has disabled himself
from performing his promise in its entirety.

E.g. X a former agrees to sell to Y his entire crop of

10 tons of wheat @ of 8000 per ton to be delivered
on 28th Oct. on 1st Oct, X sold his entire crop to Z at
Rs 10000 per ton. X has committed Anticipatory
breach of contract by implied repudiation.
9


 On Due Date of Performance
 If any party to contract refuses or fails to perform his
part of the contract at the time fixed for the
performance, it is called an actual breach of contract
on due date of performance.

E.g. X agreed to sell to Y 10 tons of wheat @ of Rs

8000 per ton to be delivered in two equal
installments on 28th Oct and on 21st Oct. On 28th
Oct, X refuse to deliver the goods.
 During the Course of Performance
 If any party has performed a part of the contract
and them refuses or fails to perform the remaining
part of the contract.

E.g. X agreed to sell to Y 10 tons of wheat @ of Rs

8000 per ton to be delivered in two equal
installments on 28th Oct and on 21st Oct. on 28th
Oct, X delivered 5 tons and refuse to deliver
remaining 5 tons.
Y
 



3 meaning of Remedy-

3A remedy is the course of action available to an

aggrieved party (i.e. the party not at default) for the
enforcement of a right under a contract.
Y
 


 


  

6 Rescission of Contract

6 Suit for Damages

6 Suit for Specific Performance

6 Suit for Injunction

6 Suit Upon Quantum meruit

Y 

 

6 It means a right not to perform obligation.

In Case of Breach of a Contract,

3 The promisee may put an end to the contract.
3 Aggrieved party:- Discharge from all the obligations and
Entitle to claim compensation for damage.
E.g. X agrees to supply 10 tons of wheat to Y on 28th
Oct. Y promises to pay for the goods on its receipt. X
does not supply the goods on the due date. Here Y is
discharged from the liability of paying the price. Y is
entitled to rescind the contract and to claim
compensation for the damage which he has sustained
because of non supply of goods on the due date.



 

6 Damages are monetary compensation allowed for

loss suffered by the aggrieved party due to the breach
of a contract. The object of awarding damages is not
to punish the party at fault but to make good the
financial loss suffered by the aggrieved party due to
the breach of contract.
E.g. H·s mill was stopped due to the break down of a
shaft. He delivered the shaft to B, a common carrier, to
be taken to a manufacturer to copy it and make a new
one. H had not made it known to B that delay would
result in a loss of profits. By some neglect on the part
of B, the delivery of the shaft was delayed in transit
beyond the reasonable time. Held, B was not liable for
loss of profits during the period of delay as the
circumstances communicated to B did not show that a
delay in the delivery of shaft would entail loss of profit
to the mill.
 
 


6 It means demanding the court·s direction to the
defaulting party to carry out the promise according to
the terms of the contract.

E.g. X agreed to sell an old painting to Y for Rs

50000. subsequently, X refuse to sell the painting.
Here, Y may file a suit against X for the specific
performance of the contract.


6 It means demanding court·s stay order. Injunction

means an order of the court which prohibits a person
to do a particular act. Where a party to a contract does
something which he promised not to do, the court may
issue an order prohibiting him from doing so.

E.g. W agreed to sing at L·s theatre only during the

contract period. During the contract period, W made
contract with Z to sing at another theatre and refused to
perform the contract with L. It was held that W could
be restrained by injunction from singing for Z.









6 It means as much as is earned Right to Quantum

meruit means a right to claim the compensation for the
work already done.

E.g. C an owner of a magazine engaged P to write a

book to be published by installments in his magazine.
After a few installments were published, the publication
of magazine was stopped. It was held that P could
claim payment for the part already published.