Explain the ways in which a contract may be discharged.
How to lay out the answer. Follow the frame, then write it in your own words.
1 · Open in two lines. Discharge means the contract comes to an end and the parties are freed from their obligations.
2 · Performance. Exact performance by both sides; a valid tender of performance also discharges.
3 · Agreement. Rescission, novation, waiver, accord and satisfaction.
4 · Frustration. A later event, no one's fault, makes performance impossible or radically different (Taylor v Caldwell; Krell v Henry).
5 · Breach.
Actual breach: failure to perform when due.
Anticipatory breach: refusal in advance (Hochster v De la Tour).
Breach of condition allows termination; warranty gives damages.
6 · Operation of law and remedies. Death in personal contracts, insolvency, merger, prescription. Remedies: damages (Hadley v Baxendale), specific performance, injunction, rescission, quantum meruit.
7 · In Sri Lankan business. A hotel hall destroyed by fire (frustration); a missed delivery date for a garment exporter (breach of condition).
8 · Close in one line. Most contracts end by performance; the other methods deal with what happens when things go wrong.
Scoring tip: Five headings, five cases. Add the remedies briefly for a strong finish.
