This document discusses remedies available for breach of contract. It outlines five remedies: 1) Suit for rescission, which cancels the contract; 2) Suit for damages to recover monetary losses; 3) Suit upon quantum merit to recover payment for work performed; 4) Suit for specific performance, which requires the guilty party to fulfill the contract terms; and 5) Suit for injunction to prevent the guilty party from taking a promised action. Damages can include ordinary damages for actual losses, special damages for indirect losses, liquidated damages set in the contract, and nominal damages where no loss occurred.
This document discusses remedies available for breach of contract. It outlines five remedies: 1) Suit for rescission, which cancels the contract; 2) Suit for damages to recover monetary losses; 3) Suit upon quantum merit to recover payment for work performed; 4) Suit for specific performance, which requires the guilty party to fulfill the contract terms; and 5) Suit for injunction to prevent the guilty party from taking a promised action. Damages can include ordinary damages for actual losses, special damages for indirect losses, liquidated damages set in the contract, and nominal damages where no loss occurred.
This document discusses remedies available for breach of contract. It outlines five remedies: 1) Suit for rescission, which cancels the contract; 2) Suit for damages to recover monetary losses; 3) Suit upon quantum merit to recover payment for work performed; 4) Suit for specific performance, which requires the guilty party to fulfill the contract terms; and 5) Suit for injunction to prevent the guilty party from taking a promised action. Damages can include ordinary damages for actual losses, special damages for indirect losses, liquidated damages set in the contract, and nominal damages where no loss occurred.
This document discusses remedies available for breach of contract. It outlines five remedies: 1) Suit for rescission, which cancels the contract; 2) Suit for damages to recover monetary losses; 3) Suit upon quantum merit to recover payment for work performed; 4) Suit for specific performance, which requires the guilty party to fulfill the contract terms; and 5) Suit for injunction to prevent the guilty party from taking a promised action. Damages can include ordinary damages for actual losses, special damages for indirect losses, liquidated damages set in the contract, and nominal damages where no loss occurred.
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Breach of Contract and Remedies
Chapter 10
Breach of contract Breach of contract is the failure to perform what a party is under a duty to perform. When this happens, the nonbreaching or aggrieved party can choose one or more remedies. The following are the remedies available to the aggrieved against the guilty party in the case of breach of contract.
1. Suit for Rescission
Rescission means cancellation of contract.When one party breaks the contract the other party is released from his obligation.If the aggrieved party wants to sue the guilty party for damages for breach of contract he must sue for recission of the contract.
2. Suit for damages
The aggrieved party may sue for damages in case of breach of contract.Damages are a monetary compensation allowed to the aggrieved party for the loss suffered by him as a result of breach of contract.The aggrieved party can claim the following kinds of damages:
Kinds of Damages a. Ordinary Damages ; These are also called general damages.When a cotract is broken the aggrieved party can recover ordinary damages from the guilty party.Ordinary damages are usually assessed on the basis of actual loss. b. Special damages: These damages include indirect loss which may arise due to breach of contract.The parties must be aware of the loss which may arise due to breach of contract.The notice to this affect must be given otherwise he is not responsible for special damages.
c. Exemplary Damages:These are awarded to
punish the guilty party for the breach of contract.These damages have no place in the law of contract and are not recoverable. d. Liquated damages: When parties to a contract fixed the amount of damages for breach of contract at the time of formation of contract such damages are called liquidated damages. e. Nominal Damages:When aggrieved party suffer no loss the court may reward nominal damages in recognition of his right
3. Suit upon Quantum merit
The term quantum meruit means payment in proportion to work done.The right to claim quantum meruit arises when the orignal contract is discharged.The aggrieved party may sue for quantum merit in following cases. a. When an agreement becomes subsequently void. b. When contract is divisible. c. Where something is done without any intention to do so gratuitously d. When completion of contract is prevented by other party. e. When a divisible work is performed badly.
4. Suit for Specific
performance In some cases where the damages are not adequate remedy the court may direct guilty party to fulfill the contract.The aggrieved party can sue for specific performance in the following cases. a. when compensation is not an adequate remedy . b. When it is difficult to calculate actual damages c. When compensation in money can not be obtained.
5. Suit for Injunction
Injunction is an order of court restraining a person from doing something which he promised not to do.It is mode of securing specific performance in the negetive form.
