contractual obligations
📖 O que é contractual obligations? Significado e conceito
When people or companies enter into a contract, they each take on certain duties or promises. These duties are called contractual obligations. For example, if you hire a professional to install a driveway, that professional has a contractual obligation to install it to a reasonable standard. Similarly, if a company agrees to provide plumbing and HVAC services, they have an obligation to perform that work adequately.
These obligations are fundamental to how contracts work. If one party believes the other has not met their contractual obligations, they might bring a claim, such as in Small Claims court or a Civil Resolution Tribunal. The party making the claim must generally prove that the other party failed to meet their obligations. This often involves showing that the work was deficient or not performed to the agreed-upon standard.
In some cases, proving a deficiency might require expert evidence, especially when the standards of a professional service are not common knowledge. For instance, determining if a concrete driveway was poured correctly might need an expert opinion. However, if a deficiency is very obvious, expert evidence might not be necessary. If a party admits to owing a debt under a contract, they are acknowledging their contractual obligation to pay.
📋 Requisitos
- A contract exists between the parties.
- Specific duties or services were agreed upon within the contract.
- One party alleges that the other failed to perform their agreed-upon duties.
- Proof of the alleged deficiency or non-performance of the obligation.
📝 Procedimento
- A party identifies an alleged failure of contractual obligation.
- The party brings a claim, for example, to a Civil Resolution Tribunal.
- The party making the claim presents evidence to prove the deficiency.
- The responding party may present evidence to show they met their obligations or deny the contract.
- A tribunal member assesses the evidence to determine if a contractual obligation was breached.
💡 Exemplos
- A homeowner hires a company to install plumbing and HVAC, and the company has a contractual obligation to install these systems adequately.
- A professional hired to install a concrete driveway has a contractual obligation to perform the service in a reasonably competent manner and to a reasonable standard.
- A company that receives invoices for LED panels has a contractual obligation to pay for them if they were a party to the contract.
- If a service provider fails to complete work as agreed, they have not met their contractual obligation for unfinished work.
📚 Base legal
- Civil Resolution Tribunal Act (CRTA)
❓ Perguntas frequentes
What happens if someone doesn't meet their contractual obligations?
If a party doesn't meet their contractual obligations, the other party might be able to make a claim for damages or for the work to be completed properly. This could involve going to a Civil Resolution Tribunal or Small Claims court, as seen in the cases.
Do I always need an expert to prove a contractual obligation wasn't met?
Not always. If the deficiency in the work is obvious and doesn't require technical expertise to understand, you might not need an expert. However, for professional services like concrete pouring, an expert opinion is often needed to explain why the work wasn't up to standard.
Can a company deny a contractual obligation?
Yes, a company can deny a contractual obligation, for example, by denying they were a party to any contract in the first place, as one company did when faced with invoices for LED panels.
What does 'install the driveway to a reasonable standard' mean for a contractual obligation?
It means the professional must perform the service with the level of skill and care that a reasonably competent professional in that field would use. This is an implied term in contracts for professional services.
How do I prove that a contractual obligation was not met?
You generally need to provide evidence. This could include invoices, communications, photos, or, as often required for professional services, expert evidence explaining the deficiency. The burden of proof is on the person alleging the deficiency.