Contract Disputes

arbitration

When two parties have a disagreement, they may attempt arbitration.

Arbitration is a way to settle a dispute without going to court.

In arbitration, an independent third party is involved to assess and resolve the dispute.

damages

Damages are money given as compensation to a party for a loss.

If one party has lost money because of a breach of contract, they may sue for damages.

repudiation

Repudiation is the refusal to fulfill the terms of a contract.

If one party doesn't perform their duties in a contract, it will lead to repudiation.

frustration

Frustration occurs when a contract can't be implemented for unexpected reasons.

Frustration of a contract is not the fault of either party.

For example, a lease will become frustrated if the property is destroyed by a fire.

Questions

What is an arbitrator responsible for?

>resolving a disbute between two parties.

If a party can prove a breach of contract in court,...

> it will be awarded damages.

They preferred arbitration because it was faster and cheaper than going to court.

While arbitration is conducted outside courts, any decision is legally enforced.

They settled their dispute through arbitration.

The judge awarded them $300,000 in damages.

When they couldn't settle their dispute through arbitration, one party sued the other for damages.

If one party refuses to perform their duties in contract,...

>it will lead to repudiation.

What will happend to a contract if it violates a new goernment policy?

>it will become?frustrated.

Repudiation may have consequences stated in a contract, or it may lead to legal action.

Their failure to pay on time caused the contract to be repudiated.

The government implemented new trade policies, causing a frustration of the contract.

If a contract becomes frustrated, a new contract may be?drawn up.