Performance

Question 1

What is the outline for Performance?

Answer 1

1. Promises
2. Conditions
3. Discharge of Duty to Perform

Question 2

What are the elements of a Promise?

Answer 2

Common Law: Substantial Performance

—A party must substantially perform their part of the contract

UCC: Perfect Tender Rule and Installment Contracts

—(Perfect Tender) The parties must strictly perform all duties under the contract. There is a right to cure if there are nonconforming goods and there is time left to perform

—(Installment Contracts) The buyer may cancel the entire contract only if nonconformity substantially impairs the value of the entire contract and cannot be cured

Question 3

What are the elements of Conditions?

Answer 3

1. Express or Implied Conditions
2. Excuse of Conditions

Question 4

What are Express and Implied Conditions?

Answer 4

Express: Conditions expressed in the contract itself. Standard of performance must be full.

Implied: Conditions which a court may find exists due to the nature of the contract itself. Substantial performance is required.

Question 5

What are the excuses of conditions?

Answer 5

1. Waiver: Can be waived by words or conduct
2. Wrongful interference
3. Estoppel

Question 6

What are the elements of Discharge of Duty to Perform?

Answer 6

1. Impracticability: An unforeseeable event occurs and the nonoccurence was a basic assumption of the contract
2. Impossibility: An unforeseeable event occurs which makes it impossible to perform
3. Frustration of Purpose: If an unexpected event causes the purpose of the contract to be destroyed, the party can rescind the contract