Discharge By Performance Flashcards
(14 cards)
Discharge by performance definition
If all parties have satisfied their contract by performing their duties then the contract will end.
Strict rule on discharge by performance
Contractual duties must be complete and exact - meaning the party must match their obligations within the contract. You have to do exactly what you said you were going to do.
Strict rule case
Cutter v Powell
There are 4 exceptions to the strict rule for discharge by performance - what are they called?
Prevention of full performance
Acceptance of part performance
Divisible contracts
Substantial performance
What is prevention of full performance?
If one party prevents the other from carrying out his contract they have prevented his/her performance.
What is the case for prevention of full performance?
Planche v Colburn
What is acceptance of part performance?
If one party has agreed the other party need not complete the entire contract - then you claim for the part that is done.
The agreement must be specifically acknowledged and gained without pressure.
If the innocent party has no option but to take the benefit of the work done, this is not considered consent to part performance.
What is the case for acceptance of part performance?
Sumpter v Hedges
What is a divisible contract?
This is where a contract can be seen as being separate parts
Non-completion of one part is not a breach of the whole contract.
What is the case for a divisible contract?
Ritchie v Atkinson
What is substantial performance?
If a party has done substantially what was required under the contract, there must be payment for what has been done.
What is the case for substantial performance?
Hoeing v Isaacs
What is the side rule of time?
Consider whether time of performance is a condition or a warranty in the contract
Time side rule case
Union Eagle v Golden Achievement
