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Breach of Contract Cures, Contract Termination

Contracts will often include “cure” provisions to prevent a party from immediately canceling or terminating a contract in the event of breach. Moreover, as is the case with more complex or lengthy contracts, a “cure” provision allows a party to correct an inadvertent breach of contract

A cure clause usually states that the non-breaching party must give notice to the breaching party of a breach of contract that occurs, and that if the breach is not fixed or cured within a certain time period, the contract will be terminated, canceled or litigation may commence. Stehno v. Sprint Spectrum, LP, 186 S.W. 3d 247, 251 (Mo. 2006).  As an example, real estate transactions usually require a written contract. A common cure provision in a real estate contract is that the seller must be notified of any breach for failure to remedy any defects to the condition of the property (e.g., plumbing, roof), and that if the defects are not cured within a certain time period, the buyer may cancel the contract and/or pursue a breach of contract claim against the seller. 

In other circumstances, the right to cure exists outside of the contract terms and is created by statute. Under the Uniform Commercial Code, for instance, there is a right to cure when a selling merchant sells non-conforming goods to a purchaser (i.e., the seller has an opportunity to deliver the correct, conforming goods). Section 400.2-508, RSMo. 

Contact with inquiries about contracts, cure provisions, contract termination or breach of contract litigation.