9084 · 3.3.2
Breach flashcards
Revision flashcards for Cambridge 9084 Breach (syllabus 3.3.2). Flip, recall, then mark a real past-paper question.
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Actual breach?
Failure to perform when performance is **due** — e.g. non-delivery, defective goods, late payment.
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Anticipatory breach?
Clear indication party **will not perform** before due date — innocent party need not wait (*Hochster v De La Tour*).
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Innocent party's election?
**Affirm** — continue contract, claim damages at due date; or **accept repudiation** — terminate immediately.
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Can election be reversed?
Generally **no** — once termination accepted, contract ended; affirming waives right to terminate for that breach.
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Repudiatory breach?
A breach of **condition** or a serious breach of an **innominate term** that allows the innocent party to terminate the contract and claim damages.
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White & Carter v McGregor?
Innocent party may **affirm** and complete performance, claiming full contract price — if they have a legitimate interest and don't need the other party's cooperation.
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What is an actual breach of contract?
A failure to perform contractual obligations on or after the date set for performance. The remedy depends on the type of term breached (condition, warranty, or innominate term).
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Define anticipatory breach.
Occurs when one party indicates, before the performance date, that they will not fulfil their obligations. This can be express or implied. The principle was established in *Hochester v De La Tour*.
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What is repudiation of a contract?
The act of treating the contract as terminated. The innocent party has the right to repudiate (and claim damages) following a breach of condition or a serious breach of an innominate term.
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Explain affirmation of a contract.
The innocent party's choice to treat the contract as still valid despite an anticipatory breach. They wait for the original performance date. This carries risks, as seen in *Avery v Bowden* where the contract was later frustrated.
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What is the principle from *White & Carter (Councils) Ltd v McGregor*?
An innocent party can affirm a contract after an anticipatory breach and claim the full contract price, provided they have a legitimate interest in performing and do not need the cooperation of the breaching party to do so.
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What constitutes wrongful termination?
It's when a party ends a contract without the legal right to do so, for example, by treating a minor breach (of a warranty) as a reason to terminate. This action is itself a repudiatory breach.