Time of essence clauses refer to the amount of time by which parties to a contract have to complete their contractual obligations to the other party.
Not meeting these deadlines can result in a breach of contract claim against the tortfeasor..
In a legal context, “time is of the essence” is a statement that may be included in the language of the provisions of a contract to emphasize that the parties must complete their obligations on time.
In other words, the phrase “time is of the essence” means that timing is material to the performance of the contract..
The modern view held by most courts is that a party's failure to meet the conditions of a "time is of the essence" provision amounts to a material breach of the contract
And, alternatively, most courts will not consider the timing as crucial if this language is left out
A time is of the essence clause adds urgency to the contract to ensure that the parties abide by the timeline the contract is attempting to enforce
Normally, parties to a contract do not have to uphold the terms of the contract by a specific date, or face breach of contract action
When someone has a time is of the essence provision in place, it’s generally because completion of the contract is time-sensitive, and one of the parties to the contract needs more control over the obligations due to potential problems that might arise if a transaction takes longer than expected
A time is of essence clause can be included in any contract where the completion of the duties is dependent on time or the occurrence of some event...
If a contract does not contain a time is of the essence clause, it is generally assumed that time is not an important factor for the agreement. In...
If a contract contains a valid time is of the essence clause, it must be followed strictly. If a party fails to abide by provisions regarding the e...
Contractual matters can often be somewhat complex, especially if the contract contains a time is of the essence clause. You may wish to contact a l...
