ANTICIPATORY REPUDIATION

ADEQUATE ASSURANCES

A PARTY MAY IN WRITING DEMAND ADEQUATE ASSURANCE OF DUE PERFORMANCE, IF reasonable grounds for insecurity arise with respect to performance of the other party, after which THE NON REPUDIATING PARTY CAN TREAT THE CONTRACT AS REPUDIATED IF THOSE ASSURANCES ARE NOT GIVEN WITHIN A REASONABLE TIME NOTE: ADEQUATE ASSURANCES ARE NOT NECESSARY IF THE REPUDIATING PARTY HAS STATED UNEQUIVOCALLY THAT SHE WILL NOT PERFORM

EXCUSE OF CONDITIONS

IF: 1-there is an executory bilateral contract with executory duties on both sides, and 2-the words or conduct of the promisor unequivocally indicates that she cannot or will not perform when the time arrives

ANTICIPATORY REPUDIATION

OCCURS WHERE A PROMISOR, PRIOR TO THE TIME SET FOR PERFORMANCE, INDICATES THAT HE/SHE WILL NOT PERFORM WHEN THE TIME COMES

REMEDIES

THE NON REPUDIATING PARTY HAS THE OPTION TO TREAT THE CONTRACT AS BREACHED AND IMMEDIATELY SUE NOTE: Anticipatory repudiation would not apply if both sides do not have an executory duty to perform. In such a case, the non repudiator must wait to sue until the time originally set for performance by the repudiating party

UCC REMEDIES

WHEN A BUYER BREACHES BY REPUDIATING HIS OFFER, THE SELLER HAS A RIGHT TO RECOVER HIS INCIDENTAL DAMAGES PLUS, EITHER 1-the difference between the contract price and the market price , or 2-the difference between contract price and the resale price of the goods, reduced in either case by any expenses saved as a result of the breach