Homework answers / question archive / A Markham based Smartphone Company called HardDC asked a software company called SoftDC to develop software for them

A Markham based Smartphone Company called HardDC asked a software company called SoftDC to develop software for them

Law

Share With

---

A Markham based Smartphone Company called HardDC asked a software company called SoftDC to develop software for them. The software company gave a total estimate of 10,000 dollars for a total work of 20 days. It was agreed between the two companies that HardDC would be paying SoftDC 30 percent before the beginning of the work, 60 percent after the initial version and 10 percent on the competition.

After 10 days of work, SoftDC wrote a letter that the work will take more time since their chief software developer has left the company. After 15 days SoftDC wrote back saying that they would be only able to deliver the source codes and would provide an assistant developer who will finish the rest of the work. After 20 days, when HardDC asked for the final version, SoftDC told them that it can provide them with 80 percent of the work and would like the 60 percent as promised. However, fearing the non-completion of the project, HardDC canceled the contract and asked for a full refund. SoftDC has threatened to take HardDC to court for a breach of contract.

Case Brief

HardDC versus SoftDC due to an alleged breach of contract

Legal Rationale

According to SoftDC, there was a breach of contract but according to HardDC, the software company did not deliver them what was promised.

What legal advice would you provide to both parties? Why?