Discharge by Breach of Contract

Discharge by breach of contract occurs when one party fails to fulfill their obligations as outlined in the contract, effectively breaking the agreement. This failure can be significant, making it impossible for the other party to receive the benefits they expected. When a breach happens, the innocent party can seek remedies such as damages, which are compensation for losses incurred, or cancellation of the contract. Essentially, a breach disrupts the intended performance of the contract, leading to its termination or modification due to the other party's inability to uphold their end of the bargain.