SCENARIO.
Facts: Mr. Joseph runs a construction company in Tanzania and entered into a contract with XYZ Corporation to build a commercial building. The contract specified the scope of work, timelines, and payment terms. However, during the construction process, XYZ Corporation failed to make timely payments as agreed upon, causing delays and financial difficulties for Mr. Joseph's company. Mr. Joseph seeks legal advice on how to address the contractual dispute and recover the outstanding payments.
-Does Mr. Joseph have a valid claim against XYZ Corporation for breach of contract?
-What laws and regulations in Tanzania govern contractual disputes and obligations?
-What legal remedies are available to Mr. Joseph to enforce the terms of the contract and recover the outstanding payments?
Instructions: Please provide a legal opinion addressing the above issues based on Tanzanian contract law. Analyze the relevant legislation, such as contract laws, commercial laws, or any other applicable regulations pertaining to contractual disputes. Evaluate the facts provided to determine if there is sufficient evidence to support a claim of breach of contract. Discuss the legal rights and remedies available to Mr. Joseph as a party to the contract and recommend the best course of action for him to enforce the terms of the contract, resolve the dispute, and recover the outstanding payments from XYZ Corporation.
Date: 19th June 2023
Managing Director,
Mr. Joseph's company.
P.O. Box ……………
Kilimanjaro.
Dear Sir/Madam...............
RE; LEGAL OPINION IN RESPECT OF BREACH OF CONDITIONS OF CONSTRUCTION AGREEMENT ENTERED BETWEEN MR JOSEPH’S COMPANY AND XYZ COMPANY.
1.0 INTRODUCTION
I, the undersigned, am rendering this legal opinion emanating from your instructions to me by you to provide you with a legal opinion concerning breach of core terms of construction agreement entered between Mr Joseph’s company and XYZ company.
2.0 ISSUES AND QUESTIONS RAISED
The issues that we have put forth for determination are;
2.1 Does Mr. Joseph have a valid claim against XYZ Corporation for breach of contract?
2.2 What laws and regulations in Tanzania govern contractual disputes and obligations?
2.3 What legal remedies are available to Mr. Joseph to enforce the terms of the contract and recover the outstanding payments?
3.0 LAWS REVIEWED
In rendering this opinion, the following law was reviewed and relied upon;
3.1 Law of Contract Act, Cap. 345 R.E 2019.
3.2 Civil Procedure Code, Cap. 33 R.E 2019.
4.0 OPINION
4.1 In respect of the first question, Mr Joseph has a valid claim against XYZ company on breach of core terms of a contract entered among the parties. As per Section 37(1) of the Law of Contract Act, parties to a contract must perform their respective promises, unless such performance is dispensed with or excused under the provisions of the Act or of any other law. Mr Joseph has a valid claim against XYZ company because the XYZ company failed to perform its contractual obligations as agreed.
4.2 In respect of the second question, the laws governing contractual disputes and obligations in Tanzania includes The Law of Contracts Act Cap. 345 R.E 2019 and Civil Procedure Code, Cap. 33 R.E 2019.
4.3 In respect of the third question, Mr Joseph have a right to compensation. Section 73(1) establish that, where a contract has been broken, the party who suffers by such breach is entitled to receive, from the party who has broken the contract, compensation for any loss or damage caused to him thereby, which naturally arose in the usual course of things from such breach, or which the parties knew, when they made the contract, to be likely to result from the breach of it.
Mr Joseph can sue defendant before court in a civil suit under Civil Procedure Code to pursue his claims accordingly.
5.0 CONCLUSION
This opinion is limited to matters of the Tanzanian Laws and Practices stated herein and may not be read as extending by implication to any matters not specifically referred to. Nothing in this opinion should be taken as expressing an opinion in respect of any representations of warranties or other information, or any other document examined in connection with this opinion except as expressly confirmed herein.
This Opinion is given for the purposes expressed in paragraph 1.0 above and should not be used by any other person other than the addressee and/or for any other purposes without written consent from the undersigned.
I submit
Respectfully,
………………………..
Johnson Yesaya
ADVOCATE
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