Breach of Contract and Remedies: A Case Scenario

Individual Essay

Table of Contents
INTRODUCTION ..........................................................................................................................3
MAIN BODY...................................................................................................................................3
CONCLUSION ...............................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
Business law can be referred to as the branch of civil law dealing with both public and
private law which regulate the working of the businesses. It is a vast field which covers many
legislations like employment law, companies law, contract Act, data protection Act and many
other. It regulates the corporate contracts, manufacture and sale of the consumer goods and
hiring practices (Bedir, 2020). Business law which is also called the commercial law protect the
rights of a company and its people so that it can help in establishing the standards as to how
things must be run. Contract law regulates the obligations, rights, conduct and relation of the
parties who have entered into a valid contract. This report shall deal with a case scenario relating
to breach of contractual relationship and remedies.
MAIN BODY
A contract is an agreement between the private parties which creates the mutual
obligations among them and is enforceable by the law. The contract law governs the commercial
contract which have been entered into by the parties to run their business efficiently. The
essentials of the valid contract as per the contract law is that there must be an offer by one party
and acceptance by the other party. A consideration is also present in the contract and there must
be an intention to create a legal relations among the parties. In order to claim the remedy for the
breach of contract, it is important to fulfil the essential requirement of the contract. Earlier before
the judgement of Balfour v. Balfour, the intention to create legal relations was not a necessary
essential but after this decision, it became an essential requirement to constitute a legal binding
contract. The court opined that there are many agreements which does not lead to binding
contract which may be enforceable by the courts. In the commercial contracts, the court raises
the presumption that there is an intention to create legal relations (Blair and Vidak-Gojkovic,
2018).
In the given case scenario, Raymond works on part tine basis in a firm of accountants and
also runs a small consultancy business which specialises in taxation advice. Raymond entered
into a contract with a struggling artist Samantha for which he agreed to draft three years accounts
for her at a consideration of £800. when the work was completed, Samantha told him that she
could only afford to pay £200 for the work. An argument broke between them and Raymond
reluctantly accepted the cheque £200 as a full and final settlement. After some time, Raymond