Discharge and Performance of Contracts

6,078 views
5,857 views

Published on

In this presentation, we will talk about discharge of contracts according to their performance, validifying a tender, persons responsible to perform the contracts, performance time, appropriation of payments and various other discharge clauses for contracts and agreements.
We will also talk about breach of contracts and remedies, measures of damages of breach of contract, various damages, penalities.
To know more about Welingkar School’s Distance Learning Program and courses offered, visit: http://www.welingkaronline.org/distance-learning/online-mba.html

2 Comments
2 Likes
Statistics
Notes
No Downloads
Views
Total views
6,078
On SlideShare
0
From Embeds
0
Number of Embeds
25
Actions
Shares
0
Downloads
266
Comments
2
Likes
2
Embeds 0
No embeds

No notes for slide

Discharge and Performance of Contracts

  1. 1. Discharge and performance of contract
  2. 2. Performance may bei-Actual performance-When both theparties perform their respective promises, acontract is said to have been actuallyperformedii-Attempted performance-offer to performmay be called Attempted performanceOffer to perform is called ‘ Tender of
  3. 3. 1- Tender must be unconditional2-tender must be made at a proper time andplace3-Tender must be made under suchcircumstances that the person to whom it ismade may have a reasonable opportunity ofascertaining that the person by whom it ismade is able and willing to fulfill the whole ofpromise
  4. 4. 4-If the offer is an offer to deliver anything tothe promisee,the promisee must have areasonable opportunity of seeing that thething offered is the thing which the promisoris bound to deliver5- The Tender must be whole and not onlythe part6-Tender must be made to the promisee orhis duly authorized agent7-Tender made to one of several promiseshas the same effect as a tender to all of
  5. 5. 8-If any promisee neglects or refuses toafford the promisor reasonable facilities forthe performance of the promisee9-The Tender must be in proper form10-The party making a Tender must beready and willing to fulfill the obligationwhenever called upon11-A mere offer by post to pay the amountis not a valid tender12-A Tender may either be Tender of goods
  6. 6. 1-Promisee-A third party can not demandthe performance2-Legal Representative-In the case ofdeath of promisee , the Legal representativecan demand performance3-Joint Promisees –When a person hasmade a promise to two or more persons4-Third Party-A third party can demand
  7. 7. 1-By the Parties-As per section 37 of theAct2-Promisor-As per section 40 of the Act3-Representatives-As per section 374-Agent-As per section 405-Third person-As per section 41
  8. 8. 1- Where no time is specified2-When time is specified3-On application for performance bypromisee
  9. 9. 1-Mutual and Dependent-Performance ofone party depends upon the priorperformance of other party2-Mutual and Independent-each partymust perform independently3-Mutual and Concurrent-Promise has tobe performed simultaneously.
  10. 10. 1-Express appropriation by Debtor2-Implied appropriation by debtor3-Principal and Interest when both are due4-Apporpriation by Creditor5-Apporpriation by Law6-The rule in re Hallett’s estate
  11. 11. i-If the parties to a contract agree tosubstitute a new contractii- Promisee may dispense with or remitwholly or part, the performance of a promisemade by himiii-When a person at whose option acontract is voidable rescinds it.iv-If any promisee neglects or refuses toafford the promisor reasonable facilities
  12. 12. v-When a contract becomes void becauseof supervening impossibility or illegalityvi-When a person has a right to rescind acontractvii-When a promisor is excused by any otherlaw
  13. 13. i-Novation or Substitution-Some newcontract got substitutedii-Alteration-Change in terms of contractiii- Rescission-If the parties agree torescind itiv-Remission--Acceptance of lesser sumcompared to the original contractv-Waiver-To dispense withvi-Merger-When superior right and inferior
  14. 14. 1-Insolvency-The promisor is discharged2-Merger-Extinguishesing the right3-Death-The death of the promisordischarges the contract4-Lapse of time-The Limitation Act 19635-Material alteration or unauthorizedalteration-Change in one or more of thematerial terms of contract
  15. 15. Meaning-According to Sec 56, impossibilityof performance may fall intoi-Impossibilty existing at the time of contractknown as pre-contractual or initialimpossibilityii-Subsequent or supervening impossibilityalso known as post- contractual impossibility
  16. 16. 1-Destruction of the object necessary for theperformance of the contract2-Change of law3-Personal incapacity4-Outbreak of war
  17. 17. 1-Difficulty of performance2-Commercial Impossibility3-Impossibilty due to the behavior of a thirdparty4-Self induced impossibility5-Strikes, Lockouts ,and Civil disturbances6-Partial impossibility7-Rights and obligations under a transfer ofproperty under a case8-Temporary interruptio9-Matters with thecontemplation of parties
  18. 18. 1-Actual breach of contract-At the timewhen the performance id due2-Anticipatory Breach of contract-Byrenunciation
  19. 19. 1-If the contracted is ended at once-Theamount of damages will be measured by thedifference between the prices prevailing onthe date of breach2-If the contract is kept alive till the dateof performance of contract-Here thedamage will be on the date of performance
  20. 20. 1-Ordinary or general damages-Damagesparties are ought to know2-Special damages-Resulting from breachof contract3-Exemplary damages-Shows the Court’sdisapproval4-Nominal damages- Contemptuousdamages
  21. 21. 1 Reasonable and proportionate-Theamount involved2-Fair and Genuine-the damage is fair andgenuine3-Object-To secure compensation4-Recovery through Court-Are permittedby Court5-Court,s Power-Courts have no power to
  22. 22. 1-Reasonable and Proportionate-Theamount is reasonable2-Fair and Genuine-The damage is fairestimate3-Object-To secure compensation4-Recoverable through Court-LiquidatedDamages are permitted by Court5-Court’s Power-Court’s have no power to
  23. 23. I-In case of voidable contracts ( Sec 64 )-The contracts becomes voidableii-In case of contract becoming void (Sec 65 )-When an agreement is discoveredto be void
  24. 24. i-Where monetary compensation is anadequate remedyii-Where the court cannot supervise theexecution of the contractiii-Where the contract is for personal serviceiv-Where one of the parties is incompetentto contractv- Where the contract is ultra vires
  25. 25. vi- Where the contract is made by Trusteesin breach of trustvii-Where a subject material part of thesubject matter of the contract has ceased toexistviii-Where the contract is inequitable toeither party
  26. 26. 1- This right does not arise out of anycontract but it is of quasi- contractual nature2-This right arises out of some pastperformance a)- some work is done)-someservices are rendered.3-It is by nature restitutory4-It arises when a quasi- contract is inexistence
  27. 27. 1-This right arises out of a contract2-This right arises when there is non-performance3-It is by nature compensatory4-It arises only when a contract is broken
  28. 28. “Like” us on Facebook:  p // /http://www.facebook.com/welearnindia “Follow” us on Twitter:http://twitter.com/WeLearnIndiahttp://twitter com/WeLearnIndiaWatch informative videos on Youtube: http://www.youtube.com/WelingkarDLP

×