Requisites of a valid tender It must be unconditional. It must be of the whole quantity. It must be by a person in a position. It must be made at the proper time and place. It must be made to the proper person. It may be made to one of the several joint promisees It must give a reasonable opportunity to the promisee for inspection of the goods. The debtor must make a valid tender in legal tender money.
Effects of refusal of a party to perform promise whollyContracts which need not be performed: When its performance becomes impossible. When the parties to it agree to substitute a new contract for it or to rescind or alter it. When the promisee dispenses with or remits, wholly or in part. When the person at whose option it is voidable, rescinds it. When the promisee neglects or refuses to afford .
By whom must contracts be performed?1. Promisor himself.2. Agent3. Legal representatives.4. Third person.5. Joint promisors.
Devolution of joint liabilities Any of the joint promisors may be compelled to perform. A joint promisor compelled to perform may claim contribution. Sharing of loss arising from default. Release of a joint promisor.
Time and place of performance Where no application is to be made and no time is specified. Where time is specified and no application is to be made. Application for a performance on a certain day and place. Application by the promisor to promisee to appoint place. Performance in manner or at time prescribed or sanctioned by the promisee.
Rules regarding performance of reciprocal promises Simultaneous performance Order of performance Effect of one party preventing another Effect of default as to promise to be performed first To do things legal and other things illegal
Time as the essence of the contract When time is of the essence. When time is not of the essence.
Appropriation of payments Where the debtor intimates. Where the debtor does not intimates & the circumstances are not indicated. Where the debtor does not intimate & creditor falls to appropriate.
Assignment of contracts1. Act of the parties Assignment of contractual obligations. Contractual obligations involving personal skills & ability cannot be assigned. A promisor cannot assign his liabilities or obligation under a contract. Assignment of contractual rights. • The rights & the benefits under the contract not involving personal skills may be assigned. • An actionable claim can always be assigned.2. Operation of law Death Insolvency