About This Chapter
Contracts: Breach of Contract - Chapter Summary and Learning Objectives
When two parties draw up a contract, they are usually in agreement of the terms and conditions within that contract. Once they sign the contract, it is assumed that all parties involved will honor the terms of the contract. However, this is not always the case. Sometimes people back out of a contract or otherwise fail to fulfill their end of the agreement. When this happens, it is called a breach of contract. In this chapter, we will cover different aspects of a contract breach. Our lessons will introduce you to the basic definition of a contract breach and types of breaches. You will also learn about things that include:
- Remedies for a breach of contract
- Damages that may be awarded when a contract is breached
- Issues with contract enforcement that may lead to a breach
- Fraud in contracts
- Statute of Limitations in relation to contract enforcement
|Types of Contract Breach: Partial, Material & Total||Take a look at the three types of contract breaches.|
|Circumstances of Contract Breach: Anticipatory Repudiation & Demand for Assurances||Discuss anticipatory repudiation and demand for assurances.|
|Remedies for Breach of Contract: Formula for Expectation Damages||Discover how damages are calculated and determined.|
|Contract Breach Remedies: Reliance Damages, Restitution & Injunctions||Examine reliance damages, restitution and injunctions.|
|Types of Damages Due to Breach of Contract: Liquidated and Non-Recoverable||Explore the types of damages that may be awarded due to a breach of contract.|
|Duress and Undue Influence in Contract Enforcement: Krysa v. Paine||Study a real case to learn about duress and undue influence in contract enforcement.|
|Contract Enforcement: Mistake, Misrepresentation & Fraud||Find out the role of mistake, misrepresentation and fraud in contract enforcement.|
|Defenses to Contract Enforcement: Unconscionability & Statute of Limitations||Take a look at defenses to contract enforcement.|
1. Types of Contract Breach: Partial, Material, & Total
A contract is a form of agreement that is legally binding. When one of the contracting parties fails to hold up his or her end of the deal, a breach of contract results. There are three different types of breach of contract. This lesson explains partial, material and total breaches.
2. Circumstances of Contract Breach: Anticipatory Repudiation & Demand for Assurances
A contract is a form of agreement that is legally binding. Sometimes, a contracting party suspects that the other party will fail to uphold his or her end of the deal. In these cases, there are certain legal procedures a party can use to better secure the contract. This lesson explains anticipatory repudiation and demand for assurances.
3. Remedies for Breach of Contract: Formula for Expectation Damages
When a party breaches a contract, a court will often award damages to the other party. Expectation damages are a common form of legal remedy for a breach of contract. This lesson explains expectation damages, and the formula for calculating expectation damages.
4. Specific Performance and Injunctions: Remedies for Breach of Contract
When a party breaches a contract, a court will usually award money damages to the innocent party. But there are other types of remedies. Equitable remedies are different than monetary damages. This lesson explains specific performance and injunctions, which are equitable remedies.
5. Contract Breach Remedies: Reliance & Restitution
When a party breaches a contract, a court will often award damages to the other party. There are several different types of damages. The type of damages awarded will depend on the circumstances of the case. This lesson explains when reliance damages and restitution might be used.
6. Non-Recoverable Damages: Damages Due to Breach of Contract
A money damage award is the most common remedy for a breach of contract. However, there are several limitations on money damage awards. This lesson discusses items that aren't recoverable, or won't usually be included, in a damage award.
7. Liquidated Damages: Damages Due to Breach of Contract
When a breach of contract occurs, there are several different types of money damages that might be awarded to the innocent party. Liquidated damages are a predetermined form of money damage award. This lesson explains the use of liquidated damages.
8. Duress and Undue Influence in Contract Enforcement
Contracts must be entered into freely by both of the parties and include mutual assent. Sometimes mutual assent can be affected by coercion or pressure to enter the contract. Duress and undue influence are situations that affect mutual assent and make a contract void or voidable. This lesson explains duress and undue influence in contract formation.
9. Contract Enforcement: Misrepresentation & Fraud
A contract won't be enforced if it's based on fraud or misrepresentation. These are civil causes of action regarding the formation of a contract. Both of these causes of action involve a statement of facts that is untrue. This lesson explains fraud and misrepresentation in contract formation, and takes a look at a case example.
10. Defenses to Contract Enforcement: Mistakes
A valid and legally enforceable contract requires a meeting of the minds. Sometimes there isn't a meeting of the minds due to a mistake by one or both parties. This lesson explains the different types of contract mistakes, and the remedies available.
11. Defenses to Contract Enforcement: Unconscionability & Statute of Limitations
Sometimes a party has a defense to a contract. A contract defense is a valid and legal reason for why the contract can't be enforced. This lesson explains unconscionability and statute of limitations. These are both defenses to the enforcement of a contract.
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Other chapters within the Business 103: Introductory Business Law course
- History of American Law
- Sources of Law
- Constitutional Law
- American Legal Systems
- Legal Procedures
- Contract Law Basics
- Capacity in Contract Law
- Contract Law and Third Party Beneficiaries
- Contracts: Assignment and Delegation
- Contracts: Statute of Frauds
- Contracts: Scopes and Meanings
- Contracts: Discharge of Contracts
- The Legal Environment
- Securities and Antitrust Law
- Property Law
- Creditors' Rights
- Product Liability and Consumer Protection
- Torts in Business Law
- The Role of Agency in Business Law
- Sales & the Law
- Studying for Business 103