BLAW10001 Lecture Notes - Lecture 6: Fundamental Breach, Determinative, Anticipatory Repudiation

• School: University of Melbourne
• Department: Business Law
• Course: BLAW10001
• Professor: Arlen Duke

Document Summary

Duties arise from creation of a contract"s particular terms. Performance of the contractual obligations owed discharges them. If performance is discharged, both parties have ful lled and received full expected bene ts. If performance is terminated, one party has breached the contract (non compliance), leaving the other at a loss. Performance required depends on the particular terms of the contract. When interpreting contractual language, the starting point is that words should be given their ordinary and natural meaning. The role of the court is to determine, on an objective basis, the meaning the parties" intended the words to have. Parties are acting in accordance with their subjective understanding of the contract, not its objective interpretation. When all the obligations are discharged, the contract is at an end. Failure to perform voluntarily is a breach of contract. Breach of contract does not discharge the contract the obligations remain in existence and can be enforced by means of a legal action.