Breach

• discharge by breach

  -> where one party doesn't do what they promised

  • actual breach - clear failure to do what the contract requires
  • anticipatory breach - party hints/ says outright they wont do what the contract says

  effects on conditions -> can repudiate or seek damages

  effects on warranties -> innocent party can only sue for damages

  -> before ending contract, need to be sure a condition has been broken - can be sued for wrongly ending the contract
• actual breach

  2 ways

  1. total failure to perform - party doesnt do anything they promised
  2. failure to perform in accordance with terms of contract -> includes part performance - party doesnt do things exactly as the contract says

  repudiatory breach -> so serious it deprives innocent party to the contract of the main benefit - happens in 3 ways

  1. breach of a condition - crucial part of contract
  2. refusal to perform contract
  3. serious breach of an innominate term deemed to be a condition
• actual breach - circumstances leading to breach 


  • where one party says they wont do what they agreed to
  • one party makes it impossible to follow the contract
  • total or partial failure to perform

  -> some contracts have termination rules - stoczinia Gdynia v Gearbulk holdings
• anticipatory breach 


  -> one party tells the other in advance they wont fulfil the contract -> direct communication through conduct

  -> can consider contract breached and sue or wait for when contract was supposed to happen and then sue

  hochester v de la tour // geden operations v drybulk handy holdings

  -> being unsure / unlikely is not a breach
• remedies

  -> can ask for immediate compensation and must minimise losses reasonably

  -> if wait for anticipatory --> actual then losses could increase due to market changes

  -> if frustration then different remedies apply

  -> condition = repudiate/damages

  ->warranty = damages