What is anticipatory repudiation?

Anticipatory repudiation is a legal concept used in contract law, specifically in the state of New Hampshire. It is a statement or action that shows an intention to breach the contract prior to when the breach should have actually occurred. It gives the other party an opportunity to end the contract before the breach actually happens and seek damages for any losses. The most common way anticipatory repudiation is demonstrated is when one party indicates they will not complete the contractual duties, such as by refusing to perform them. This refusal can be expressed verbally or in writing and can be done even before the performance of those duties is due. Anticipatory repudiation also may come in the form of a communication that shows the party’s intention to breach the contract, or a communication that indicates the party is unable to meet the contract’s obligations. When a repudiation is made, the innocent party can accept the repudiation and, depending on the circumstances, seek damages or losses. Additionally, the innocent party can choose to treat the contract as still being in effect, and if the party does perform their duties, they can use the repudiation as a defense if the other party tries to breach the contract after that. Anticipatory repudiation is an important concept in contract law and is especially important in New Hampshire. Knowing its implications allows parties to better protect themselves before entering into contracts.

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What is anticipatory repudiation?

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