Page 69 - PRINCIPLE OF LAW- FINAL (eISBN) pdf
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Politeknik Kota Bharu
2.5 RELATED METHOS OF DISCHARGE OF CONTRACT
• Discharge of a contract means termination of a contract. It is
the act of making a contract or agreement null.
• Discharge of a contract refers to the way in which it comes to
an end. Contracts can come to an end in the following ways:
2.5.1 DISCHARGE BY PERFORMANCE
✓ Performance of contract must be precise and exact. Strictly
accordance to contract terms as:
a. Section 47, 48, 49, and 56: Time and place of performance
b. Section 33-37: Contingent contract, insurance contract,
guarantee
c. Section 39: Tender
d. Section 42: Performance by 3rd parties
e. Section 43: Devolution
✓ Pacta sunt servanda is a Latin term which means agreements
must be kept. Stressing that contained clauses are law
between the parties and implies that nonfulfillment of
respective obligations is a breach of the pact.
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