Substantial Performance

If a contracting party does not complete performance, that party is in breach. But if the party has given most of the promised performance, there may be substantial performance. Another way of saying this is that the breach is not material. This lesson examines the grounds for determining whether a breach is material and explores the consequences if it is. The lesson can be run either as an introduction to substantial performance or as a review after you have completed your study.

Learning Outcomes

On completion of the lesson, the student will be able to:

1. Define substantial performance.
2. Explain the U.C.C. "perfect tender rule."
3. Apply the concept of substantial performance to particular fact situations.