Contract Obligations Presumed Absolute The general principle is that a person is unconditionally obliged to perform his contractual obligations. It is not simply a question of using best endeavours to do so. It is presumed that contracts provide for unconditional obligations. There is nothing inconsistent with the existence of a contract that a party undertakes something that is very difficult […]
Tender of Performance Generally, a contractual obligation must be performed without performance being demanded. A debtor must seek out his creditor, if necessary, in order to pay. This position may be varied by the terms of the contract, custom, or statute. If one party offers to perform or unsuccessfully attempts but is unable to do so, there is a tender […]
Order of Performance I Some obligations are pre-conditional on the other party first performing his obligation under the contract. They or some of them, in turn, may depend on the first performance of some element of his obligations. The order of performance may be a critical issue. Where one party must perform first, then upon his refusal, the other party may […]
Description I The Sale of Goods Act provides that a description applicable to goods is a contract condition. Therefore, its breach entitles the other party to terminate the contract and recover damages. The description identifies the goods as such. Generally, statements in relation to the quality of the goods are covered by the implied statutory conditions as to quality rather […]
Nature of Frustration The principle of frustration applies where a contract is entered to perform something which later becomes impossible or wholly meaningless. This must occur without the fault of either party. The event must be unexpected. If one party anticipated or should have anticipated the possibility of the risk/event, and did not incorporate a term to protect itself, frustration […]