What is the doctrine of good faith and fair dealing?

The doctrine of good faith and fair dealing is a legal principle applied in South Carolina contract law that requires the parties of a contract to act in good faith, which means that each party must act with honesty and fairness. This means that parties should not take advantage of one another, or deny one another’s rights. Good faith and fair dealing requires the parties to not act in any manner that would injure or deprive the other party of any of the benefits of the contract. This means that one party should not misrepresent any material fact, or fail to cooperate with the other party in the performance of their obligations under the agreement. The doctrine also states that parties of a contract should not make a promise that is difficult or impossible to perform, or shift the burden of performance onto the other party without providing reasonable compensation. In South Carolina, when one party fails to act in good faith and fair dealing, it may be viewed as a breach of contract. This breach could entitle the other party to damages or other remedies as appropriate for the situation. The doctrine of good faith and fair dealing is an important principle in Contract Law in South Carolina, as it helps ensure that all parties are treated fairly and with honesty.

Related FAQs

What is an exculpatory clause?
What is the parol evidence rule?
What is the doctrine of frustration in a contract?
What is a unilateral contract?
What is the formalities requirement?
What is a mutatis mutandis clause?
What is the common law of contracts?
What is a contract of indemnification?
What is the doctrine of privity?
What is the effect of an anticipatory breach?

What is the doctrine of good faith and fair dealing?

Related FAQs

Related Blog Posts