LAW 122 Lecture Notes - Lecture 11: Contractual Term, Punitive Damages, Liquidated Damages

• School: Ryerson University
• Department: Law and Business
• Course: LAW 122
• Professor: Sagi Peari

Document Summary

Discharge (=when the parties are relieved of the need to do anything more under the contract: discharge by performance, discharge by agreement (another contract, discharge by breach. A contract can be discharged through the performance of its terms (obligations): performance: occurs when the parties fulfill all the obligations contained in the contract. Rule: parties must perform exactly as contract requires. Late performance is still performance (time is not of the essence: 2. Substantial performance is still performance (satisfies the contract but is incomplete in some minor way) Exception: entire contract clauses (no part of the price is payable unless all of the work is done: discharge by agreement. Parties may agree to discharge contract by either: 1. Accord and satisfaction: occurs when a party gives up its right to demand a contractual performance in return for some new benefit. Example: parties agree (accord) that one party will give the other some new consideration (satisfaction) to give up right to performance.