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Last revision: 16/09/2024
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Fill out the templateA breach of contract notice is a written document that can be sent to formally notify a party that they have broken the terms of a contractual agreement. This breach of contract notice can be used where the contract is governed by the laws of England and Wales.
The purpose of a breach of contract notice is to provide formal notice to a party about the alleged breach, and to provide them with the opportunity to remedy (put right) the breach. If the breach remains unremedied, a party may consider terminating the agreement or making a court claim for breach of contract in the Civil Court.
It is necessary to send a letter before claim before a party issues a court claim in the Civil Court, so this step will follow any breach of contract notice.
Yes, in some circumstances it is mandatory to send a breach of contract notice. Many contracts include a clause that mandates the sending of a breach of contract notice in the event of a breach. Usually, this type of clause will state that the party in breach should be notified of the breach and provided with the opportunity to remedy (put right) the breach, before further steps may be taken (such as termination of the contract).
Most contracts will specify how a breach of contract may be sent, and may even specify what the breach of contract notice should contain. It is therefore important to check the contract carefully before a breach of contract notice is created.
Any party to a contract can send a breach of contract notice. This can include a natural person or a commercial entity (such as a company), provided that they are a party to the agreement.
Once the breach of contract notice has been finalised, it should be signed by the party that is sending it (the sender). It may then be sent to the other party. A contract will usually contain a clause that specifies how and where notices should be sent. The sender should check those provisions carefully and should send the notice via the specified method.
The sender of the breach of contract notice may wish to attach documents which are relevant to the breach. This might include:
This breach of contract notice can be used in a variety of different situations. A breach of contract notice will be best suited for commercial agreements such as:
Different warning processes are used in relation to employment contracts and work contracts – where a disciplinary procedure will be followed before issuing a formal warning letter.
If a party fails to respond or fails to remedy the breach, the sender of the notice may have the right to terminate the contract* or make a court claim to the Civil Court for damages (money owed as a result of the breach) and other remedies.
Different termination rights exist, depending upon the nature of the term that is breached and the provisions of the contract. More information can be found about this in our legal guide.
A breach of contract notice should:
This notice will be sent in relation to the general laws of contract. The law applicable to a specific contract will largely depend upon the nature of that contract.
It is useful to note that, in most cases, a court claim for a breach of contract has a time limit of 6 years (section 2 and section 5 of the Limitation Act 1980). This means that any claim should be brought before the expiry of that period
For a contract made by deed, the limitation period is usually 12 years (section 8 of the Limitation Act 1980) – subject to certain exclusions.
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Breach of Contract Notice - Template - Word & PDF
Country: United Kingdom