Material violations( for R)

If a Party does not do what it says in the contract, this leads to its destruction and makes that Party
liable for violating the contractual damages. You may have the right to sue it, but only for “actual
damages.” In the context of the Contract Restatement, the following must be shown to determine if
a material breach happened:

 How badly the injured party is affected by the breach.

 How much the injured party can be paid according to the terms of the contract.

 How badly the other party broke the terms of the contract.

 How likely the other party will be able to perform the failed terms depending on his or her
circumstances.

 How the other party acts in good faith and fair dealing standards.

Fundamental breach(by p and R)

fOne party can sue the other party for breaking the terms and possibly terminate the contract.

Section 73(p and R)

provides compensation for loss or damage caused by the breach of contract. When a contract
has been broken, the party that suffers from such infringement is entitled to receive
compensation for any loss or damage resulting from such infringement. Such compensation shall
not be given for any remote and indirect loss or damage sustained as a result of the breach.

Section 73 deals with breach of resembling contract (by p and R)

It confers a statutory right upon a party to get compensation from a party who has incurred a
statutory obligation to pay compensation in case default even though there may be no contract
to pay compensation .The party in default is under obligation to pay compensation to the injured
party as if there was a contract and has broken such contract.

general damages (for R) special damages and aggravated damages ( for P)

Unliquidated damages ( by P)

The obligation of parties to perform (Section 37)(by P and R)

The obligations in a contract are those duties by which the parties to the contract have to abide
by. In a contract, the parties to the contract usually exchange something of value in the eyes of
the law. The thing which is decided to exchange can be the product, services, money, etc

Section 39. Effect of refusal of party to perform promise wholly( by P and R)

When a party to a contract has refused to perform, or disabled himself from performing, his
promise in its entirety, the promisee may put an end to the contract,unless he has signified, by
words or conduct, his acquiescence in its continuance.

Section 54 in The Indian Contract Act, 1872 (by R)

 54. Effect of default as to that promise which should be performed, in contract consisting of
reciprocal promises.—When a contract consists of reciprocal promises, such that one of them
cannot be performed, or that its performance cannot be claimed till the other has been
performed, and the promisor of the promise last mentioned fails to perform it, such promisor
cannot claim the performance of the reciprocal promise, and must make compensation to the
other party to the contract for any loss which such other party may sustain by the non-
performance of the contract.

The consequence of failure to perform the contract at a fixed time when the time is essential
(Section 55) (by P and R)

Section 55 of the Indian Contract Act,1872 deals with the effect of failure to perform the
contract at a fixed time when the time is essential.

 If an act is not done within the stipulated time, the contract becomes voidable at the option
of the promisee provided the Intention of the parties was that time should be of the essence
of the contract.

Thus whether time was the essence of the contract depends on the intention of the parties and
also on the nature of the contract.

Doctrine of frustration section 56 ( by R )

Section 67 in The Indian Contract Act, 1872( for R)

Title: Effect of neglect of promisee to afford promisor reasonable facilities for performance.

Description: If any promisee neglects or refuses to afford the promisor reasonable facilities for the
performance of his promise, the promisor is excused by such neglect or refusal as to any non-
performance caused thereby. Illustration A contracts with B to repair B's house. B neglects or refuses
to point out to A the places in which his house requires repair. A is excused for the non-performance
of the contract if it is caused by such neglect or refusal.