ABSTRACT
A party who fails to perform a contract according to its terms will be in breach of contract. When an employer acts in breach of an employment contract in such a way as to repudiate it, the employee may accept the repudiation and sue for damages. A party who renounces his or her obligations before the time to perform has arrived is in anticipatory breach. Assuming that the breach is sufficiently serious to entitle the other party to treat the contract as discharged, the consequences of the breach depend on the innocent party's election. When the innocent party elects to treat the contract as discharged on the grounds of repudiation both the party electing to discharge and the party in breach are released from all future obligations under the contract. As the contract was frustrated between the date of repudiation and the date fixed for performance, he lost the right to claim damages for the initial breach.
