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Newport Beach Business Lawyer.
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What Do I need to have a valid contract? Offer Acceptance and consideration. Offer Acceptance and consideration Offer Acceptance and consideration Offer Acceptance and consideration.
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Contract Law: Breach of Contract
Breach of Contract:
Prevention, hindrance, cooperation
Failure to perform first material breach rule
Repudiation Prospective failure Impossible Unwilling Can demand assurance UCC 2-609, R251 BUT Must not have knowledge at time of contract & must not Assumed risk Failure to assure=repudiation=material breach Immaterial Continue to perform and sue for breach-some mitigating factors apply Material R241 Cured-stop performance until cure and sue for partial breach-some Mitigating factors apply Waits too long for cure (R225, 243(1)) Stop performance until lapse, terminate contract and sue for total breach Treat as immaterial-may be estopped from later suit
Anticipatory repudiation R250, 253 Positive statement that will not perform Voluntary act makes substantial performance possible Transfer subject matter (More direct and severe prospective) May be retracted unless: R256 & UCC2-611(1) Other party treated repudiation as final No retraction in time or at all material Exception: Contract fully performed on one side, and installment contract on other R243 (3) Mitigating factors Prevention cooperation hindrance Divisibility (defaulting Plaintiff usually) Can be broken up into pairs Agreed exchange R240 Substantial performance (if yes, no material breach) May not apply where breach is willful=total breach Still liable for partial breach Sale of goods-buyers ‘perfect tender’ rule-UCC 2-601 exceptions: cure buyer fails to reject in time installment contracts Election-continue to perform may=waiver of breach Estoppel: other party relies on waiver
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