On November 1,Paula and Mia enter into a contract where both parties are obligated to perform on December 31.On December 1,Paula tells Mia,"I cannot and do not plan to perform my duties in our contract." This statement is a(n):
A) material alteration.
B) anticipatory repudiation.
C) nonmaterial breach since the statement is made before December 31.
D) accord.

Question

Quizplus · Accepted Answer

Paula's statement is an anticipatory repudiation, which is a clear indication that she will not perform her duties on December 31. This statement relieves Mia of her obligations to perform and she may seek damages for breach of contract.

On November 1,Paula and Mia Enter into a Contract Where