Contracts

Breach of Contract

Quick Answer

What does "Breach of Contract" mean in law?

A breach of contract occurs when a party fails to perform a contractual obligation without a valid legal excuse. A material breach goes to the essence of the agreement, excusing the non-breaching party from further performance and entitling them to damages. A minor breach entitles the non-breaching party to damages but does not discharge their duty to perform.

Definition

A breach of contract occurs when a party fails to perform a contractual obligation without a valid legal excuse. A material breach goes to the essence of the agreement, excusing the non-breaching party from further performance and entitling them to damages. A minor breach entitles the non-breaching party to damages but does not discharge their duty to perform.

Example

A contractor substitutes a materially different brand of pipe than specified. Whether this is a material or minor breach depends on the significance of the deviation.

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