BLAW 2301 Lecture Notes - Lecture 18: Force Majeure, Justin Timberlake, Hurricane Harvey
26 Jun 2018
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CH 18 PERFORMANCE, BREACH AND DISCHARGE
•Discharge: A party is discharged when she has no more duties under the contract, by full
performance
Sometimes the parties discharge a contract by agreement (example: the parties may agree to
rescind their contract)
•Condition: An event that must occur before a party becomes obligated under a contract
•How Conditions Are Created:
•Express Conditions
•The parties may expressly state a condition, EX: “THIS CONTRACT DOESN’T
HAVE TO COME INTO EFFECTIVE UNLESS X HAPPENS..”
•No special language is necessary to create the condition, as long as the
contract’s language indicates that the parties intended to create a condition, a
court will enforce it
•Implied Conditions
•The parties may say nothing about a condition, but it can be clear from their
agreement that they have implied a condition
•Types of Conditions
•The key to all conditional clauses is this: if the condition does not occur, one party will
probably be discharged without having to perform his obligations under the contract
•Condition Precedent
•An event must occur before a duty arises
•Plaintiff must prove that the condition occurred
•Ex: a mortgage contract will have a condition precedent that an
inspection to assess the condition and value of the property must occur
before the mortgage contract takes effect.
•Condition Subsequent
•The condition must occur after the particular duty arises
•Defendant must prove that the condition occurred. Ex: lose job if not pass BAR
exam
•Concurrent Conditions
•Both parties have a duty to perform simultaneously
find more resources at oneclass.com
find more resources at oneclass.com
Document Summary
Discharge: a party is discharged when she has no more duties under the contract, by full performance. Sometimes the parties discharge a contract by agreement (example: the parties may agree to rescind their contract) Condition: an event that must occur before a party becomes obligated under a contract. The parties may expressly state a condition, ex: this contract doesn"t. Have to come into effective unless x happens : no special language is necessary to create the condition, as long as the contract"s language indicates that the parties intended to create a condition, a court will enforce it. The parties may say nothing about a condition, but it can be clear from their agreement that they have implied a condition. The key to all conditional clauses is this: if the condition does not occur, one party will probably be discharged without having to perform his obligations under the contract. An event must occur before a duty arises.
