Remedies for Breach of contract
Breach of contract means, when a party or a person to a contract does not perform his duty, responsibility, obligation or break the contract or refuses to perform the contract is known as contract.
In the case of breach of contract if a party who does not perform the duty refuses to perform the obligation of the promise made to the other party that person is called as defaulting party the person whereas the other party who signed the contract is called as aggrieved party.
Cancellation/ Exoneration/ Rescission
In this if a party commits a breach of contract that is he refuses to perform the duty into the contract levied in aggrieved party can assume the contract to terminate, rescind the contract and then can cancel it from the performance.
e.g., Aman contract to sell certain to Rohan for rupees 50000 and promise to make the payment on the due date. During the time period, if he refuses to pay the service or to deliver the product at the promised date and time, then Aman can assure that the contract can be terminated. And Aman is need not to pay rupees 50000 to Aman anymore.
Claim for ‘Quantum meruit’
Quantum meruit literally means 'as much as earned', when a party has given some duty or assigned some work to do at the request of another party, like a person supplying goods to the other party, and during that span of time, if the compensation for goods or service has not been defined at the time of the contract, then the legal action could be taken for an adequate compensation for such goods or service is called quantum merit.
E.g. When X promise to construct a building for Y for rupees 10,00,000. After performing or signing the contract X started constructing the building, but before of its completion, seeing the condition of the work of X, Y terminate and cancel the contract and stop the work. In this type of situation, a person can sue and seek for an adequate compensation for the work that he has already done already by him.
Claim for Restitution
This is explained in section 65 which says that a can be void when any person who has received any advantage under such contract is bound any advantage under such contract is bound to restore it to make compensation for it to the person form whom he received it.
A sell his Rs.80000 to B, in consideration that B's will return the house of C, A's daughter. C is dead at the time of promise. The agreement is void but B must repay A Rs 80000.
This contract is only applied to the contract which becomes void.
Claim for specific performances
In the case of specific performance, in breach of contract damages are not deemed to be an adequate remedy, then the aggrieved party can sue the other the pending party breaching out the contract for not carrying out his promise, and shall continue with the work performed according to the contract.
In this direction the court specifies the performance of the contract at the suit of the aggrieved party.
He is looking for a flat in a locality for a living, he then made a contract with the owner B to buy the flat. Later, B refused to sell the flat to A.
In such situation, damages caused from B breach of contract are not an adequate remedy for A because he will not be able to have any house in that locality that price. In this case, A can appeal to the court for the specific performance of the contract.
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