Willa has a contract to perform accounting services for Entollo Corporation.She breaches her contract in a nonmaterial way.Which of the following is correct with respect to Willa's right to be paid for her work?

Question

Quizplus · Accepted Answer

Even though Willa breached the contract in a nonmaterial way, she is still entitled to receive the contractually agreed upon fee, but it may be reduced by any damages or loss her breach has caused the client. This is because the breach did not go to the heart of the contract and did not fundamentally alter the benefits that the client expected to receive under the contract. However, if the contract specifies that it is a "satisfaction" contract, then Willa would only be entitled to payment if the client was satisfied with her performance, regardless of whether her breach was material or not.

Willa Has a Contract to Perform Accounting Services for Entollo