anticipatory breach

Anticipatory Breach

In contracts, a declaration in which one party stops performing his/her obligations. The Uniform Commercial Code specifies how one may calculate damages in a lawsuit resulting from an anticipatory breach.
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anticipatory breach

An affirmative statement or action indicating that a party has no intention of honoring his or her contractual commitments.This is important because one cannot ordinarily bring a lawsuit until there has been an actual breach of a contract.For tactical or other reasons, it may be important to avoid delays.If there has been an anticipatory breach, the aggrieved party may bring suit immediately.

The Complete Real Estate Encyclopedia by Denise L. Evans, JD & O. William Evans, JD. Copyright © 2007 by The McGraw-Hill Companies, Inc.
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