Breach of Contract – What is Mora Creditoris and Mora Debitoris?

By: Gaurang Takkar


Section 2h of the Indian Contract Act, 1872 defines contract as “An agreement enforceable by law”. A proposal coupled with acceptance becomes promise. A promise with a consideration leads to an agreement and an agreement enforceable by law is termed as contract. There are some basic essentials of a contract under section 10 of the ICA, 1872 which are that a person should be competent to contract, of sound mind, of age of majority and the contract should be for lawful object and consideration. A contract is said to be completed when it is discharged. Let us understand about the Discharge of Contract and its types. 

What is Discharge of Contract and its modes?

Discharge of contract refers to the culmination of the contractual obligations that were laid down by the parties at the time of formation of contract. This was the reason why the obligations were laid down and relationship was formed when the contract was entered into by the parties. A discharge is done through various modes in both positive (performance) or in negative (breach) way. These modes are:

Discharge by performance – It is when the contract is discharged by performance of the obligations by both the parties. Section 38 of the Indian Contract Act deals with Attempted performance as well which states that if a party has attempted to perform its obligation and the other party didn’t turn up or is not accepted by the other party, it is known as tender of performance or attempted promise.

By agreement or consent- Section 62 of the ICA,1872 states that “if the parties to a contract agree to substitute a new contract for it, or to rescind or alter it, the original contract need not be performed”. It is done through novation, recission or altercation of contract.