anticipatory breach


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anticipatory breach

n. when a party to a contract repudiates (reneges on) his/her obligations under that contract before fully performing those obligations. This can be by word ("I won't deliver the rest of the goods" or "I can't make any more payments") or by action (not showing up with goods or stopping making payments). The result is that the other party does not have to perform his/her obligations and cannot be liable for not doing so. This is often a defense to a lawsuit for payment or performance on a contract. One cannot repudiate his obligations and demand that the other person perform. (See: breach, contract)

References in periodicals archive ?
To be entitled to damages based upon an anticipatory breach, the nonbreaching party must establish its ability to perform at the time of the breach.") (internal citations omitted) (emphasis added).
This is similar too the English common-law doctrine of anticipatory breach.
1974) (holding that repudiation following partial breach by non-performance is to be treated as a total breach and not as an anticipatory breach).
52009U, 873 NYS2d 232 (Civil Court, Kings County, 2008) which held that an insurance carrier's denial of a claim before the expiration of the 30-day pay or deny provision of the regulations constituted an anticipatory breach of the insurance contract, allowing a health care provider to commence a lawsuit within 6 years after the claim became overdue.
Relatives challenged the closure on an "anticipatory breach of contract", and that has led to the council confirming it will continue to maintain the home to Care and Social Services Inspectorate Wales (CSSIW) standards for the current residents.
(50) Within hours of that response, the contracting officer terminated the contract for default, explaining that the contractor's response indicated that the contractor will not complete performance unless certain conditions are met, and that "such preconditions constitute an anticipatory breach of the contract." (51)