2. Contract Law
“An agreement enforceable by law is
known as contract”
Remedies For the breach
of contract:
1.Suit for Rescission
2.Suit for Damages
3.Suit upon Quantum Meruit
4.Suit for Specific Performance
5.Suit for Injunction
3. Suit for Rescission
According to contract law, rescission has been defined as the
unmaking of the contract between the parties or we can say
cancellation of a contract.
If the aggrieved party wants to sue the guilty party for the
damages for breach of contract, he must sue for rescission of the
contract. When the court grants rescission, the aggrieved party is
free from obligations and becomes entitled to compensation
4. Suit for Damages
The aggrieved party can sue for the damages in case of
breach of contract. Damages are the monetary compensation
allowed to the aggrieved party for the loss suffered by him as
a result of breach of contract. The claim can be filed
according to the following kinds of damages:
a)Ordinary Damages
b)Special Damages
c)Exemplary Damages
d)Liquidated Damages
e)Nominal Damages
5. Suit for Damages
Ordinary Damages
Ordinary damages are also known as general damages.
Ordinary damages are usually assessed on the basis of
actual loss.
Special Damages
Special damages are those damages that are payable for the
loss arising on account of some special or unusual
circumstances.
Exemplary Damages
Exemplary damages are the award given to victims when the
conduct of the individual who caused the victim harm is
willfully malicious, violent, oppressive, fraudulent, wanton, or
grossly reckless.
6. Suit for Damages
Liquidated Damages
Liquidated damages are damages that are included in a
contract to compensate for a potential breach of the
contract.
Nominal Damages
Nominal damages are awarded to the aggrieved party
when there is only technical violation of the legal rights.
7. Suit upon Quantum Meruit
Quantum meruit means "the amount he deserves" or "as much as
he has earned"
. The aggrieved party may sue for quantum meruit in the following
cases:
a. When an agreement becomes subsequently void.
b. When there is a promise to render services but no
agreement about remuneration.
c.Where something is done without any intention to do it
gratuitously.
d. When the contract is divisible.
e.When the completion of a contract is prevented by the
other party.
f. When a divisible work is performed badly.
8. Suit for Specific Performance
“Specific performance means fulfilling a promise made under a
contract as agreed”
● When aggrieved party can be sued:
When compensation in money is not an adequate remedy
When it is difficult to calculate the actual damages
When compensation in money cannot be obtained
● When Specific performance is not granted:
When damages are an adequate remedy
When the court supervise the execution of contract e.g.
construction contract
When the contract involves personal skill, taste and qualification
9. Suit for Injunction
“Injunction is an order of a court, restraining a person from
doing something which he promised not to do.”
An injunction will not be issued:
Where damages are the appropriate remedy.
Where an injunction is not the appropriate relief.
Where the plaintiff is not entitled to an injunction on
account of his conduct.
Where the contract cannot be specifically enforced.
Where the injunction would operate inequitably.
