material breach and rescission

Question 1

what is rescission

Answer 1

exercise of right to terminate further performance

Question 2

what is repudiation

Answer 2

wrongful declaration that they will refuse to perform other obligations

Question 3

is the breach material

Answer 3

• Wade v Waldon - goes to the root of contract
• Apcoa Parking v crossland properties - consider terms relationship with the other in the context of overall agreement

Question 4

what qualifies as repudiation

Answer 4

• Wyman Gordon Ltd v proclad international
• objectively clear indication that material contractual obligations are not going to be performed

Question 5

what options does the innocent party have after material breach or repudiation

Answer 5

• can affirm
• can rescind

Question 6

what happens when the innocent party affirms the contract

Answer 6

• white and Carter v McGregor - affirm means to insist on continuing performance so the innocent party also has to continue performing

Question 7

what happens if the innocent party chooses to rescind?

Answer 7

• graham v turkey red - performance obligations end but not accrued rights
• Lloyds bank v Bamberger - some clauses may be effective like exemption clauses or liquidated damages