Chapter 10
What happens if the contract is breached?
Consequences for a breach of contract
There are a number of consequences for the breach of a contract. Primarily they are:
- an order for damages or the payment of financial compensation by the party making the breach
- an order for specific performance of the contract by the party in breach
- an injunction
- restitution.
Apart from an injunction, they all tend to arise after the contract has been terminated.
Damages
If a party breaches a contract and the suffering party can establish what they have lost arising from the breach, they make a claim to be compensated for that loss. It is necessary for loss to be proved. That loss may be of a number of different types. However, generally in breach of ...