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LAB/U1 Topic 13 Remedies for Breach of Contract

Where is a right, there is a remedy:  

A right would be no value if there were no remedy to enforce that right in the court of law, in the event of its infringement of breach of contract. A remedy is the means given by law for the enforcement of a right. When either of the parties breaches the contract, it gives the right to the other party to sue him for a remedy.

Remedies For Breach of Contract:

When a Contract is broken, the aggrieved party (the party who is not in breach) has one or more of the following remedies –

(1) Recession of the Contract
(2) Suit for Damages
(3) Suit upon Quantum Meruit
(4) Suit for Specific Performance
(5) Suit for Injunction

(1) Recession

Where there is a breach of contract the aggrieved party may sue treat the contract as rescinded and refuse further performance. In such case, he is absolved of all his obligations under the contract.

(2) Suit for Damages

The term “damage” is different from the term “damages. Damage means injury and damages means monetary compensation for the loss suffered by the aggrieved party in a breach of contract. The object of awarding damages for the breach of a contract is to put the injured party in the same financial position as if the contract had been performed. For example – in the position in which he would have been had there been performance and not breach.

(3) Suit upon Quantum Meruit: 

The phrase ‘Quantum Meruit’ means “as much as earned”.  A right to sue on a quantum meruit arise where a contract partly performed by one party, has become discharged by the breach of the contract by the other party. The right is founded on an implied promise by the other party arising from the acceptance of a benefit by that party.

(4) Suit for Specific Performance:

Specific performance” means actual carrying out of the promise. In certain cases, the Court may direct the party in breach of contract for the actual carrying out of the promise, exactly according to the terms of the contract. This is called specific performance of the contract.

(5) Suit for Injunction:

An Injection is an order of the Court of Justice directing the defendant to do some positive act or restraining the commission or continuance of some Prohibitory Act (causing injury or loss to the plaintiff ).

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