Question:
Principle: When a party to a contract has refused to perform, or disabled himself from performing, his promise in its entirety, the other party shall not put an end to the contract.
Facts: A engaged B on April 12 to enter his service on June 1, but on May 11, A wrote to B that his services would not be needed. On May 22, B joined C for employment.
Principle: When a party to a contract has refused to perform, or disabled himself from performing, his promise in its entirety, the other party shall not put an end to the contract.
Facts: A engaged B on April 12 to enter his service on June 1, but on May 11, A wrote to B that his services would not be needed. On May 22, B joined C for employment.
Facts: A engaged B on April 12 to enter his service on June 1, but on May 11, A wrote to B that his services would not be needed. On May 22, B joined C for employment.
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In contract law, unilateral termination by one party without mutual consent or legal grounds is not valid.
Updated On: Aug 14, 2025
- B cannot put the contract to an end.
- B can put the contract to an end.
- C can put his contract with B to an end.
- A must pay damages to B.
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The Correct Option is A
Solution and Explanation
According to the principle, when one party refuses to perform their obligations under the contract, the other party cannot unilaterally terminate the contract. In this case, A communicated that B’s services would no longer be needed, but B still went ahead and joined C. As per the principle, B should have waited for the contract to naturally conclude or have it terminated by mutual agreement rather than simply abandoning it.
Thus, the correct answer is (A). B cannot put the contract to an end without legal grounds.
Option (B) is incorrect because the refusal of A does not grant B the right to end the contract. Option (C) is incorrect because the issue at hand involves A and B, and C is not a party in the original contract. Option (D) is incorrect because there is no immediate obligation for A to pay damages unless a breach occurs.
Thus, the correct answer is (A). B cannot put the contract to an end without legal grounds.
Option (B) is incorrect because the refusal of A does not grant B the right to end the contract. Option (C) is incorrect because the issue at hand involves A and B, and C is not a party in the original contract. Option (D) is incorrect because there is no immediate obligation for A to pay damages unless a breach occurs.
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