The actual content of breach clauses will vary from contract to contract. However, all breach clauses will specify:

  • how a defaulting party is to be advised that they are in breach of the agreement (eg delivery of written notice) as well as how the notice must be delivered;
  • the time period within which the defaulting party must comply or remedy the breach; and
  • What the rights of the aggrieved party are should the defaulting party not remedy the breach.

If the party in breach does not remedy their default, it must be kept in mind that the agreement does not automatically become cancelled but rather the aggrieved party has the following options:

  • the aggrieved party can give the defaulting party more time (i.e. grant the defaulting party an indulgence); or
  • the aggrieved party can cancel the agreement and claim damages; or
  • the aggrieved party can enforce the contract through our courts (specific performance)