Selected Cases by Article & Issues
(1) If prior to the date for performance of the contract it is clear that one of the parties will commit a fundamental breach of contract, the other party may declare the contract avoided.
(2) If time allows, the party intending to declare the contract avoided must give reasonable notice to the other party in order to permit him to provide adequate assurance of his performance.
(3) The requirements of the preceding paragraph do not apply if the other party has declared that he will not perform his obligations.
|Right to avoid (terminate) contract in case of anticipatory fundamental breach
|'Clear' likelihood of fundamental breach by other party
|Obligation to notify other party of intention to avoid (terminate) contract
|Declaration of non-performance by other party
|Other party's opportunity to provide adequate assurance of performance