Breach of Contract

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1. What is the presumption with obligations?

  • Obligations are presumed to be counterparts unless clear indication to contrary
  • Obligations are not presumed counterparts in any circumstances
  • Obligations carry a counterpart nature when authorized by a Judge
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2. What principle does the conditional nature of mutual obligations rely on?

  • the condition is that performance must always be demanded
  • the condition is that performance cannot be demanded unless given in return
  • the condition is that performance must be to a satisfactory standard on at lease one side

3. What was the main point in Inveresk Plc v Tullis Russell Papermakers Ltd?

  • obligations presumed to be counterparts unless clear indication to contrary
  • The specified contract must be thorough to enable performance
  • A judge must be sought in times of dispute
  • For retention to be granted, the obligations must take place contemporaneously ie. the counter obligations existed at the same time

4. What was the main point in Macari v Celtic FC 1999?

  • The specified contract must be thorough to enable performance
  • the breach must relate to obligations which are counterparts
  • For retention to be granted, the obligations must take place contemporaneously ie. the counter obligations existed at the same time
  • obligations presumed to be counterparts unless clear indication to contrary

5. What is Bank of East Asia Ltd v Scottish Enterprise about?

  • Breach of contract, party unable to pay.
  • Parties had no consensus ad idem
  • For retention to be granted, the obligations must take place contemporaneously ie. the counter obligations existed at the same time
  • There does not need to be contemporaneously of obligations when seeking retention.

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