What is the principle of non-derogation of contracts?

The principle of non-derogation of contracts is a key aspect of contract law in Pennsylvania which prohibits parties from changing or taking away the rights or obligations of the other party without their consent. This means that, once a contract has been entered into, it cannot be amended or altered without the agreement of all parties involved, regardless of any changes in circumstances. This is an important principle, as it ensures that the rights and duties of both parties are respected, and that no party can use their greater knowledge or bargaining power to change the terms of a contract without the other’s consent. The principle of non-derogation of contracts also has implications in tort law. It states that a party cannot be liable for a breach of contract if they are attempting to enforce the terms of the contract. By that same token, a party cannot be liable for a breach of contract when they act to prevent another party from exercising their rights under the contract. This principle provides certainty and security for parties entering into contracts, knowing that their rights and obligations cannot be arbitrarily changed by the other party. This principle of non-derogation of contracts applies to all forms of contract, from those in writing to verbal contracts. In addition, contracts may be amended or varied through mutual agreement, as long as both parties agree to the new terms. This helps to ensure that contracts remain relevant and up to date, and that mistakes or changes in circumstances can be addressed going forward.

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