What Are The Remedies Available In Case Of Breach Of Contract?

  • When one of the parties breaches the terms and condition that had been agreed upon by the parties in the contract, contract is said to be breached.
  • Breaching of contract is generally a civil offense.
  • There are several judicial remedies available in case of breach of contract namely- Recession of contract, Damages, Specific Performance, Injunction and Quantum Meruit.
  • 1. Recession of contract- When one of the parties to a contract does not fulfill his obligations, then the other party can rescind the contract and refuse the performance of his obligations.
  • 2. Damages- The party who has suffered, since the other party has broken promises, can claim compensation for loss or damages caused to them in the normal course of business.
  • 3. Specific Performance- This means the party in breach will actually have to carry out his duties according to the contract. In certain cases, the courts may insist that the party carry out the agreement.
  • 4. Injunction- An injunction is a court order restraining a person from doing a particular act. It can pass a decree of injunction stopping the breaching party from committing an unlawful act.
  • 5. Quantum meruit- This literally translates to “as much is earned”. At times when one party of the contract is prevented from finishing his performance of the contract by the other party, he can claim quantum meruit.

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