Discharge by Performance

    Cards (14)

    • What is the complete performance rule?
      The contract will not be discharged unless performance is complete and exact
    • What case is used for the complete performance rule and what happened?
      Cutter v Powell. Sailor died during voyage, no wages were payable to widow
    • What are the 5 exceptions to the complete performance rule?
      1. Divisible Contracts
      2. Substantial contracts
      3. Prevention of performance
      4. Delayed performance
      5. Acceptance of part-performance
    • What is a divisible contract?
      A contract that can be divided into different obligations.
    • What case can be used for divisible contracts and what happened?
      Ritchie v Atkinson. Carried only part of the cargo, they were paid per ton
    • What will the contract be treated as if it is deemed divisible?
      it will be treated as discharged
    • Explain Substantial Performance
      If the contract has been substantially performed, a claim may be made for the contract price minus an amount for fixing whatever work needs to be done
    • What two cases are there for substantial performance?
      Hoenig v Isaacs
      Bolton v Mahadeva
    • What happened in Hoenig v Isaacs?
      Defects with bookcase costing 56, during refurbishment of flat, compared to overall contract price of 400.
    • What is the point of law in Bolton v Mahadeva?
      No substantial performance if amount to be done removes all benefit from contract or causes further damage
    • What is Prevention of Performance?
      Where a party has offered to perform a contract within the time specified for performance, this will discharge their contractual obligations and allow them to claim contract price from the other side, even if performance was declined.
    • What are the two cases for Tender of Performance?
      Planche v Colburn
      Startup v McDonald
    • What is Delayed performance?
      Where time of performance has been made a condition of the contract, late performance will be a repudiatory breach, entitling the claimant to treat the contract as at an end.
    • What are the two cases for delayed performance?
      union eagle v golden achievement
      Charles Rickards v Oppenheim
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