Common use of Discharge through anticipated breach Clause in Contracts

Discharge through anticipated breach. If it becomes apparent in the time prior to fulfilment that the Buyer will be in such substantial breach of the Contract that would entitle the Supplier to discharge, the Supplier may discharge the Contract prior to the time of fulfilment. The Buyer may avoid discharge by providing adequate security that its obligations will be fulfilled. If possible, the Supplier shall notify the Buyer so that it has opportunity to provide security in order to avoid discharge.

Discharge through anticipated breach. If it becomes apparent in the time period prior to fulfilment that the Buyer Supplier will be in such substantial breach of the Contract that this would entitle give the Supplier Buyer the right to discharge, the Supplier Buyer may discharge the Contract prior to the time of fulfilment. The Buyer Supplier may avoid discharge by providing adequate security that its obligations will be fulfilled. If possible, the Supplier Buyer shall notify the Buyer Supplier so that it has opportunity to provide security in order to avoid discharge.