The Pros And Cons Of Bilateral Contract

When parties enter into a bilateral contract, that is “an agreement in which the parties exchange promises for each to do something in the future,” each must hold true to his/her promise (Bilateral Contract, n.d.) When is a contract considered fully executed? What happens when one party fails to fully comply with clauses stated in a contract? What recovery is available for the non-breaching party, if fall-out occurs from improper actions of the other party immediately after execution, but before payment is made? These are some of the questions that will be answered in the following scenario and subsequent negotiation. Parents Against Drunk Driving (“PADD”) is a non-profit organization with a mission to raise “awareness of the dangers of drinking and driving through

Napier, I present Restatement (Second) of Contracts §351 and §352, as set forth in Fifth Third Bank v. United States., 518 F.3d 1368 (2008). According to the Fifth Third Bank case, “expectancy damages for breach of contract are intended to make a non-breaching party whole by providing the benefits expected to be received had the breach not occurred” (2008). Restatement (Second) of Contracts §351 as interpreted in the Fifth Thirds Bank case, sets forth that a party is “entitled to expectancy damages for breach of contract if the party…show[s] that the claimed damages were within the realm of reasonable foreseeability at the time the contract was entered into, the party must establish that the damages would not have occurred but for the breach, and the measure of damages must be reasonably certain” (2008). Restatement (Second) of Contracts §352 as interpreted in the Fifth Thirds Bank case, sets forth “Court(s) may consider post-breach evidence when determining damages for breach of contract in order to place the non-breaching party in as good a position as he would have been had the contract been performed”