Breach of Contract: Actual and Anticipatory Breach (OCR A-Level Law): Flashcards

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Breach of Contract: Actual and Anticipatory Breach
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Breach of contract definition

One party fails to perform their contractual obligations

Three scenarios where breach occurs

Non-performance, defective performance, repudiating obligations

Condition (contract term)

Fundamental term going to the heart of the contract

Warranty (contract term)

A lesser/minor term not going to heart of contract

Remedy for breach of condition

Repudiate contract and/or claim damages

Remedy for breach of warranty

Damages only (cannot repudiate contract)

Innominate term

Intermediate term; classification depends on breach impact

Anticipatory breach

Party indicates before performance due they won't perform

Hochester v De La Tour (1853) principle

Anticipatory breach can be sued immediately without waiting

The Hong Kong Fir Case (1962) principle

Introduced innominate terms; courts assess actual consequences

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