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PERFORMANCE OF

A CONTRACT
BY
B.SWAPNA
ROLL NO:18L31E0003
Performance of Contract

■ The term ‘Performance of contract‘ means that both, the promisor, and the promise
have fulfilled their respective obligations, which the contract placed upon them.
Example
■ A promises to deliver goods to B on a certain day on payment of Rs 1,000. A expires
before the contracted date. A‘s representatives are bound to deliver the goods to B,
and B is bound to pay Rs 1,000 to A‘s representatives.
TYPES OF PERFORMANCE
■ Actual Performance
When a promisor to a contract has fulfilled his obligation in accordance with the terms of
the contract, the promise is said to have been actually performed.
■ For example, A agrees to deliver10 bags of cement at B’s factory and B promises to pay the price
on delivery. A delivers the cement on the due date and B makes the payment. This is actual
performance.
Attempted performance:

■ Sometimes, the party who is bound to perform a promise under a contract is ready and
willing to perform it at the proper time and place, but is unable to do so because the
other party does not accept the performance. This willingness of the party is known as
‘Attempted performance’
Essentials of Valid Tender:
■ It must be unconditional
■ Must be made at proper time and place
■ Must be given a reasonable opportunity of inspection of goods or articles
■ Tender must be whole and not of the part
■ Must be in proper form
■ Must be made to proper person
■ For the delivery of goods must be for the quantity and quality as stipulated in the contract
■ Payment or tender can be legally made to even one of the joint promise
By whom contract may be performed?

■ Promisor himself
■ Agent
■ Representatives
■ Third persons
■ Joint promisors
Case study
Performance of Contract
Chwee Kin keong and Others v Digilandmall.com ptv .ltd
Facts of case:
■ This case deals with web based contarct
■ In this case, Defendant was selling IT products over internet in Singapore
■ The HP laser printer was advertised on the Defendants website and on the website of HP for
$3854.
■ Due to the mistake on part of one of the employee of a related company, the price of printer was
altered to $66 on the website, which was not noticed by any one of the employee.
 The Appellants (there were six appellants) discovered this price and
orders more than 100 printers each. The company on discovering the
mistake rectified it and sent an e-mail stating that it will not complete
this order.
Judgement:

■ The judgement favored defendant(also considering the background of the


appellants) that they had a constructive knowledge about the mistake in the
pricing of the product.

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