Planché v Colburn

• Planché (plaintiff, an author) agreed to write a volume on costume and ancient armour for Colburn's (defendant, a publisher) "Juvenile Library" series
• The contract price was £100, payable on delivery of the completed manuscript
• Planché undertook extensive research and wrote a substantial portion of the work
• Before completion, Colburn discontinued the entire Juvenile Library series
• Colburn refused to pay anything, arguing the work was incomplete and the contract required full completion for payment
• Planché sued on a quantum meruit (as much as he deserved) for the work done

1. Whether a party who has partially performed under a contract that is wrongfully terminated by the other party can recover reasonable compensation for the work done?

• The court held for Planché; he was entitled to £50 as quantum meruit
• Where one party prevents the other from completing performance by wrongfully terminating the contract, the performing party can: (a) sue for breach of contract (damages for loss of the contract), OR (b) treat the contract as discharged and claim quantum meruit for work already done
• Planché elected to claim quantum meruit
• The publisher could not benefit from his own wrong by preventing completion and then refusing to pay for work received

When one party to a contract wrongfully prevents the other from completing performance, the innocent party is discharged from further obligation and may claim reasonable compensation (quantum meruit) for the work already performed. The innocent party is not bound by the contractual price for the entire work; they may elect to sue on a quantum meruit basis for the proportionate value of what was actually done. The wrongdoer cannot take advantage of his own breach.