Breach of Contracts

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Breach of Contracts A contract of employment is a legally binding agreement between two or more parties. A breach of contract only occurs when either party, not all the terms of a contract are written down. A breach may be of a verbally agreed term, a written term, or an ‘implied’ term of a contract. Remedies for Breach of Contracts describes that in any situation in which there is a right, there is also a remedy and a contract gives rise to correlative rights and obligation remedy is the means given by the law for enforcement of a right. Breach of contract may be either; Actual - Actual breach occurs where one party refuses to form his side of the bargain on the due date or performs incompletely. For example: Bettini v Gye . Anticipatory - Anticipatory breach occurs where one party announces, in advance of the due date for performance, that he intends not to perform his side of the bargain. The innocent party may sue for damages immediately the breach is announced. For eample; Hochster v De La Tour A breach of contract, no matter what form it may take, always entitles the innocent party to maintain an action for damages, but the rule established by a long line of authorities is that the right of a party to treat a contract as discharged arises only in three situations. The breaches which give the innocent party the option of terminating the contract are: 1. Renunciation - Renunciation occurs where a party refuses to perform his obligations under the contract. It may be either express or implied. Hochster v De La Tour is a case law example of express renunciation. Renunciation is implied where the reasonable inference from the defendant’s conduct is that he no longer intends to perform his side of the contract. For example: Omnium D’Enterprises v Sutherland . 2. Breach of condition - The second repudiatory breach occurs

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