Repudiation of a contract is also at times referred to as anticipatory breach and occurs when one party refuses or becomes unable to honour or abide by the terms and obligations of the contract. Repudiation happens when one of the contracting parties acts in a way that amply and definitely implies that he or she will not honour the terms of the agreement, whether by words or deeds.
An innocent party can obtain recourse in the form of an interdict or specific performance, depending on which recourse best suits their circumstance. One may note that to successfully plead their case they will have to satisfy the court of the following;
- There must be conduct indicating a refusal to perform
- There must not be any justification for refusal to perform;
- The innocent party should accept repudiation
This is for general information purposes only.
