Breach of Contract Flashcards
(4 cards)
Actionable Breach of Contract
For a breach to be actionable, it must be a material breach, not a minor breach.
Material Breach
A material breach occurs when there is a failure to substantially perform, where the non-breaching party is denied the benefit of the bargain.
Performance Standard for Common Law Breach of Contract
Substantial Performance
This is the standard required to comply with real property, services, and multiple delivery sale of goods contracts.
The standard is not met if there is a material breach by either of the parties.
Performance Standards for UCC Single Delivery Contracts
Perfect Tender Rule
Single delivery contracts under the UCC require perfect performance.
If goods or tender of delivery fail in any way to conform to the contract, the buyer has the right to:
1. Accept the goods;
2. Reject the entire shipment; or
3. Accept part and reject part