Abandonment of Contract CASES
In English law, abandonment of contract occurs when parties clearly demonstrate, through conduct or inaction, that they no longer intend to be bound by their contractual obligations.
Definition and Principles
Abandonment arises from mutual or unilateral conduct evidencing that the contractual relationship has ended without formal termination. It typically requires clear, unequivocal actions showing parties consider the contract at an end.
Common Examples
- Contractor ceasing work without justification or notice.
- Parties ignoring contractual obligations over a prolonged period.
- Mutual cessation of performance without explicit termination.
Legal Implications
- May amount to repudiation, entitling the other party to terminate formally and claim damages.
- Could lead to disputes over whether obligations remain enforceable.
Practical Importance
Recognising abandonment helps parties understand the risks of informal contract termination and clarifies when contractual obligations cease, reducing potential disputes.
Home » Abandonment of Contract
A builder abandoned a lump-sum contract after completing part of the work. The owner finished the project. The court held the builder could not claim for the work done, as the owner had no choice but to accept it. He could, however, claim for loose materials the owner used. Facts The plaintiff, a builder, entered into a contract with the defendant to build two houses and stables on the defendant’s land for a lump sum of £565. The plaintiff completed part of the work, valued at approximately £333, and received partial payment. He then informed the defendant that he had
