Words and phrases

 

Termination of performance

In the event of a breach of a condition of a contract, or a serious breach of an innominate term, the non-defaulting party has a right to reject the performance tendered, and to put a stop to any further performance of the contract.

It is important to realise that what is terminated on grounds of breach of contract is the defendant's right to further perform their contractual obligations. The contract itself is not terminated or made void. Even after termination of performance by the non-defaulting party, the defendant remains liable in damages for losses flowing from the breach of the contract.