Common use of Expected breach Clause in Contracts

Expected breach. If, after the signing of this Contract, it appears, based on the behaviour of the Supplier, or a serious decline in the Supplier’s credit worthiness or in the Supplier’s ability to fulfil the contract, that the Supplier will not be able to fulfil a significant portion of its obligations, the Customer can cancel the contract and withhold further payment. If the expected breach of contract is material, the right to cancel the Contract can be invoked prior to the time of fulfilment.

Expected breach. If, after the signing of this Contract, it appears, based on the behaviour behavior of the Supplier, or a serious decline in the Supplier’s credit worthiness or in the Supplier’s ability to fulfil the contract, that the Supplier will not be able to fulfil a significant portion of its obligations, the Customer can cancel the contract and withhold further payment. If the expected breach of contract is material, the right to cancel the Contract can be invoked prior to the time of fulfilment.