Breach of Contract

A contract is a promise or an agreement between two or more parties that is legally binding.

It can either be made expressly in writing or implied, either by words or by conduct.  A contract arises when an offer is made to one party, which is then accepted by another.  There must be a clear intention on both sides to be bound by the terms of the agreement, and it therefore becomes legally binding.  

• Offer

• Acceptance of specific terms or obligations

• the parties’ intention to create legal relations and form an agreement, and

• Consideration (where one party promises to do something in return for receiving a right, interest or benefit promised by the other party)

All of the above are essential components of a legally binding contract.

Everyone of us enters into a contract when money is exchanged for goods between us as a customer and a retailer. 

What Constitutes a Breach of Contract?

A breach of contract occurs when one party to the agreement fails to fulfil an obligation or breaks the ‘Terms and Conditions’ of that agreement.   A breach of contract can occur in various ways such as if you do not pay for goods or services provided by another party, or if you do pay and you do not receive those goods and services at all or to an acceptable standard, a breach of contract has arisen.