First Principles of Business Law
Performance and breach of contract

4. Establishing a breach of contract

4.7. Anticipatory breach

 

 

 

Read the facts and the question and then choose the best answer.

In early January, A agrees to carry out building work at B's house. It is a condition of the agreement that the work will begin on 1 February and be completed by 30 April. On 28 January, A tells B that he has taken on another more profitable job. He says this other job means his work for B will not be started on time and will only be completed at the end of May.

Is B entitled to terminate A's right to perform the contract as soon as A tells him of the delay?

(a) Yes. Even though performance is not yet due to begin, in these circumstances B can put an immediate end to performance.

(b) No. Performance is not actually due yet and B must wait until it is due before he can put an end to A's right to perform.

 

 

 

 

 

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