Breach Notice
Breach Notice
Dear _______________:
You are hereby notified that you are in breach of our Agreement, attached as Exhibit 1.
The said breach results from _____________________________________________.
You are hereby notified that unless the said breach is remedied within the applicable cure period of the date of this letter, then we reserve the right to exercise any and all remedies available to us under the terms of the Contract and in law.
You are further notified that we require _______________________, failing which we reserve the right to exercise any and all remedies available to us under the terms of the Contract and in law.
Yours very truly,
________________
Enc. Exhibit 1, the Agreement
Breach Notice
Review ListThis review list is provided to inform you about this document in question and assist you in its preparation. This notice is generally of a tactical nature, to promote compliance by the other side. Usually one calls first and follows up with a formal notice. However, if you wish to extricate yourself from an agreement, a breach notice can offer cover to retreat tactically and often with the least damage to yourself.
1. Make multiple copies. Fax and email if possible to underscore the fact time is of the essence to cure and/or to make the issue seem serious and worthy of your withdrawal from the situation yourself. Keep a copy with the transaction file.
Frequently Asked Questions
What is a breach notice?
A breach notice is a formal letter notifying a party that they are in breach of an agreement. It typically states the nature of the breach and demands that it be remedied within a specified cure period. The notice also reserves the right to exercise remedies available under the contract and in law if the breach is not cured.
When should I send a breach notice?
A breach notice is generally of a tactical nature, to promote compliance by the other side. Usually one calls first and follows up with a formal notice. However, if you wish to extricate yourself from an agreement, a breach notice can offer cover to retreat tactically and often with the least damage to yourself.
What should be included in a breach notice?
A breach notice should identify the agreement that has been breached, describe the specific breach, and state the applicable cure period. It should also specify any required actions to remedy the breach and reserve the right to exercise remedies if the breach is not cured.
What is a cure period in a breach notice?
The cure period is the time frame within which the breaching party must remedy the breach. It is typically stated in the breach notice as the applicable cure period from the date of the letter. If the breach is not remedied within that period, the non-breaching party may exercise remedies.
What remedies can be exercised after a breach notice?
The breach notice states that the non-breaching party reserves the right to exercise any and all remedies available under the terms of the contract and in law. The specific remedies are not detailed in the notice itself but are determined by the contract and applicable law.
How should a breach notice be delivered?
The article suggests making multiple copies and sending the notice via fax and email if possible. This ensures that the notice is received and documented. The method of delivery may also be specified in the agreement.
What is the purpose of a breach notice review list?
The breach notice review list is provided to inform you about the document and assist in its preparation. It offers guidance on the tactical nature of the notice and practical steps such as making multiple copies and using fax and email. It helps ensure that the notice is properly prepared and delivered.
Can a breach notice be used to exit an agreement?
Yes, if you wish to extricate yourself from an agreement, a breach notice can offer cover to retreat tactically and often with the least damage to yourself. It serves as a formal step that may justify terminating the agreement if the breach is not cured. However, the notice itself does not automatically terminate the agreement.
What is the difference between a breach notice and a phone call?
Usually one calls first and follows up with a formal notice. A phone call can be a preliminary step to promote compliance, while a breach notice is a formal written communication that creates a record and reserves legal rights. The breach notice is more formal and may have legal implications.
What happens if the breach is not remedied within the cure period?
If the breach is not remedied within the applicable cure period, the non-breaching party reserves the right to exercise any and all remedies available under the terms of the contract and in law. The specific consequences depend on the contract and applicable law. The breach notice itself does not automatically trigger remedies but preserves the right to pursue them.
