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Evaluating the Existence of a Breach of Contract and the Respective Remedy When a Chef Fails Fulfill Their Contract Commitment

Cook Working hard to have the pot ready


You are an office manager who organized a party, to celebrate the opening of a new office, to which you invited several of your major customers. You signed a written contract with a catering company, with whom you have a long standing relationship, to provide food, flowers and decorations for the party. Several hours before the party was due to start the catering company called you to advise that, due to an electrical fault in their kitchen, they would be unable to fulfill the contract. The party went ahead, but considerable additional cost was incurred by you in arranging alternative suppliers for food and decorations. Given the short notice, the food was of a lower standard than planned and no flowers were available.
(a) Discuss whether there has been a breach of contract.
(b) Describe the most appropriate remedy available in contract, referring to one relevant case.

Solution To the Case When Employees Fail to Deliver on their Contract

Determining whether there was a Breach of Contract

A breach of contract exists whenever an institution fails to deliver as per the agreements they signed towards the delivery of goods or services as they may have specified in their agreement. In this case, a breach of contract exists since as per the elements of a contract, mutuality of obligation has been well substantiated to dictate that only those factors that are beyond the control of a person can be used as basis to show the existence of such a breach was beyond their control.

[blur] Electrical faults that have been cited could have been beyond the control of the company, but the company did give reasonable ground not to participate in the process of delivering as per the set contracts. It would have been the duty of the company to consult with the manager to find other alternatives (Issa, 2015). [/blur]

[blur] Even under instances of a breach, a judge may consider the actions of the plaintiff and the defendant to determine whether there were reasonable actions to show they intended to fulfil their parts of the contract. This case documents that after the notification that they would not deliver, the catering company left the whole obligation to the office manager. They did not offer suggestions on other alternative or try to assist them in actualizing the contract. A notification is one of the actions, but it does not limit the company from venturing further to ensure part of what they stated in the agreement is delivered. Punitive damages would thus be referred to this case since the manager has been cited to go beyond what he had initially budgeted in this process and in the process, they did not manage to set up all aspects of the ceremony just as they had intended (Issa, 2015). [/blur]

Important Remedy to Resolve Breach of Contract Cases

[blur] The case of Peevyhouse v. Garland Coal & Mining Co gives some insight on how breaches of contract cases are resolved. Peevyhouse sued Garland for reneging on their agreement to restore the land after conducting coal mining. In the agreement that had been made between these two parties, there were two conditions guiding the contract. One of the condition specified that the lessee was to leave the creek crossing above the premises in a condition that would not in any way interfere with crossings made in a pit. Further, they were to leave no shale or dirt on high walls of the pits. Normally, whenever coal mining is done, digging of underground shafts is preferred, but opting for the stripping of the land makes it cheaper. Restoration of such a land is done by overburdening the shift. This would have been at a cost of $29,000. Garland refused to restore the land. In deciding this case, the jury found a verdict of compensating for the $5000 by calculating the lost economic value of the land. The Judges in the case gave the argument that restoring the land would not have had any economic value as the land had already been used up and the cost of restoration would not have made sense. [/blur]

[blur] As the above case shows, No person can recover an amount higher in damages in instances of a breach of a certain obligation than they would have if there were undertaking or performing a full task. The manager can thus only request for punitive damages, which would consider the higher amount that, they spent in procuring for the food in addition to the added costs that were spent in the whole procurement process. [/blur]

In addition, since it is not possible to go back and re do the ceremony, the manager can only request for damages that will be used to compensate for the expenses that he spent in the occasion. At the same time, the manager would not compensate the catering company, as they have not undertaken any obligation. If there were any payments that had already been made, the manager should be indemnified.

References

Issa, M. R. (2015). Damages and Compensation in Case of Breach of Contract. International Journal of Social Science Research, 3(1), 190-201.

Evaluating the Existence of a Breach of Contract and the Respective Remedy When a Chef Fails Fulfill Their Contract Commitment

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