What is accomplished when all terms of a contract are fully met in the specified manner?

When all terms of a contract are fully met in the specified manner, it is referred to as Complete Performance. This signifies that each party has fulfilled their obligations as outlined in the contract, without any breaches or deviations. Complete Performance is essential in contractual relationships as it establishes that the commitments made are fully adhered to, allowing the parties to proceed with their respective interests, whether that means concluding the contract or moving on to the next phase of their agreement.

This concept is foundational in contract law as it sets a clear standard for the satisfactory execution of contractual agreements. When both parties successfully deliver what was promised, it eliminates ambiguity and disputes regarding fulfillment, thereby providing a clear basis for any further legal or contractual actions. If all obligations are met, it leads to the contract being discharged, meaning that no further performance is required from either party.

In contrast, Partial Performance would indicate that only some of the contractual obligations have been fulfilled, while Substantial Performance reflects a scenario where the majority of the contract has been completed though minor issues may still exist. Performance Excusal refers to situations where one party is released from their obligations due to specific circumstances that prevent performance.