Anticipatory repudiation, or anticipatory breach, is a legal term in the laws of contracts which defines a declaration by a promising party before entering into a contract that he or she doesn’t intend to live up to its obligations under that contract. The term anticipatory refers to the fact that the party’s promise to comply with a particular contract is based on the party’s anticipation of having an obligation to do so. For example, a person who is involved in a car accident and have no other means of transportation, but whose car is paid for, would have a greater expectation of being able to drive after he or she gets paid for his or her damages if that car was to be financed rather than if the person were to use his own vehicle. The same would be true if someone who wants to buy an expensive item wanted it to be insured in case of an accident.
Anticipatory repudiating may also occur between prospective contract participants who know what a particular agreement contains. This can be as simple as knowing what it says, but it can also be as complex as knowing what it isn’t saying. An example of an ambiguous term would be “willful violation of any of these conditions”. This is an ambiguous term because it is not easy to say exactly what it means and it would be very difficult for a court to interpret this term without coming to some sort of conclusion.
Anticipatory repudiating may occur between prospective parties when they don’t actually agree to any kind of stipulation in their contract. This happens when there is a stipulation in the contract but no formal agreement has been entered into yet. In this case, the parties have agreed to a stipulation on the contract, but it hasn’t been included in the formal agreement yet. A stipulation in a contract is one agreement that is implied by its language, which means that even if the parties later try to violate this agreement, there will be a way for them to stop from doing so without getting into trouble. For instance, a clause which says that a contract is valid only if two or more people sign it.
In addition to repudiation occurring between parties, it can also occur between companies and their customers. If a customer doesn’t pay his or her bill on time, the company might file a lawsuit against him or her. If the lawsuit goes forward, the company will argue that the customer owes them money, and therefore the customer is liable for that money. Even though the company doesn’t intend to pursue the case through the courts, the company still has the right to do so in order to recover its costs from the person who is not paying the bills.
Anticipatory repudiation is a legal term used to describe a particular type of obligation in a prospective contract where the future relationship between the parties is contingent on the future performance of a certain act. This form of obligation usually involves the client having to meet a condition or standard of conduct. Such obligation can be in a contractual relationship (for example a mortgage or a commercial real estate transaction) or an equitable property obligation (for example a lease or a contract for an asset.
For example, if a man is having trouble paying his mortgage on time, and if he decides to enter into a home mortgage, he might be liable for that loan even though he hasn’t lived in the home for a long time, because he has promised to pay his mortgage and the lender has signed the mortgage under circumstances that make him liable. If the man has lived in the home for a long time and still has trouble making his mortgage payments, and then dies or gets laid off from his job, then the lender will be obligated to sell his home to satisfy his debts, and this would be an example of a repudiation of his obligation.
There are many situations where a borrower might be obligated to make a payment in the future, but there might not yet be a specific time when this obligation will be fulfilled. For example, a debtor might have a debt that’s not settled until after the debtor leaves work for the day, but he might have already paid some of his bills for that day and the creditor might ask for an advance on his paycheck on the following day because he might have forgotten to pay some of his bills that day. A borrower may also be obligated to buy something for someone else (for example if the debtor bought the car on credit card he was using for his payments), but at the moment there’s no money left in the account to pay for that purchase.
