lecture 9.2

Question 1

Performance

Answer 1

where the debtor fulfills their duty under the contract. Common examples include paying money, delivering goods, or performing a service.

Question 2

performance case law

Answer 2

Case Law: McLaren’s Tr v Argylls (1915) 2 SLT 241: Obligation discharged on performance unless conditional (e.g., payment by cheque).

Question 3

acceptilation

Answer 3

This is where the creditor (the one to whom performance is owed) discharges his right to claim performance of the debt under the obligation, without full performance having been rendered by the debtor.

Question 4

delegation

Answer 4

This is where a third party pays the debt on a debtor’s behalf.

Question 5

delegation case law

Answer 5

Case Law: Harte Construction Ltd v Scottish Homes - need clear evidence of both intention and consent

Question 6

novation case law

Answer 6

Hawthorns v Whimster - A contract may be replaced by a new one if circumstances make it impracticable

Question 6

novation

Answer 6

situation where all remaining unperformed obligations are substituted for new obligations, which discharges/extinguishes (and in doing so replaces) the old obligations.

Question 7

assignation

Answer 7

Assignation allows a creditor to transfer their right to receive performance (e.g., payment) to a third party.

Question 8

frustration

Answer 8

Frustration discharges an obligation when unforeseen circumstances make performance impossible or illegal.

Question 9

frustration case law

Answer 9

Case Law: Taylor v. Caldwell (1863) 3 B & S 826 (English case)

Question 10

repudiation

Answer 10

A party may extinguish their obligation by repudiation when the other party commits a material breach of the contract.

Question 11

repudiation case law

Answer 11

Lothian v. Jenolite (1969) SC 111: A material breach allows the innocent party to discharge the contract and treat it as terminated.

Question 12

prescription

Answer 12

Under Scots law, prescription refers to the expiration of time limits after which a claim cannot be enforced.

Question 13

prescription legislation

Answer 13

Legislation: Prescription and Limitation (Scotland) Act 1973, s6: Sets out the time periods after which claims for obligations, such as debt, can no longer be enforced.

Question 14

confusion

Answer 14

Confusion occurs when the creditor and debtor become the same person (e.g., a debtor inherits a debt or a creditor assumes the role of debtor).

Question 15

compensation

Answer 15

Two liquid debts may be compensated under the Compensation Act 1592.