What must a party do first if the other party is in breach of a condition?

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When one party is in breach of a condition in a contract, the first step that the other party must take is to affirm or disaffirm the contract. This step is crucial because it determines how the aggrieved party wishes to proceed in relation to the contractual agreement.

Affirming the contract means that the non-breaching party chooses to uphold the contract despite the breach. This decision often occurs when the non-breaching party believes that the benefits of the contract still outweigh any risks associated with the breach.

On the other hand, disaffirming the contract means that the non-breaching party opts to reject the contract due to the breach, which may lead them to pursue damages or other remedies. This choice is essential in defining the future course of action in relation to the breached contract.

Taking action such as seeking mediation, filing a lawsuit, or notifying an attorney typically follows the affirmation or disaffirmation decision, as these steps are often based on the chosen path in response to the breach. Thus, determining whether to affirm or disaffirm the contract establishes the foundation for any further legal steps the other party may wish to undertake.

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