A material breach of contract in English law refers to a breach of a fundamental or substantial term in a contract. A material breach occurs when a party fails to fulfill a significant obligation outlined in the agreement, which goes to the root of the contract.

When a material breach occurs, the other party may have a right to terminate the contract and claim damages for the loss suffered as a result of the breach. However, not every breach will qualify as a material breach. The court assesses the breach to determine its significance and whether it affects the core purpose of the contract.

In determining whether a breach is material or not, the court considers both the express terms of the contract and the parties` intentions. The court will also consider the circumstances surrounding the breach, including the extent of any financial loss or the impact on the parties` relationship.

When a party believes that the other has materially breached a contract, they may notify the other in writing that they have committed a material breach. This notice gives the other party an opportunity to rectify the breach and prevent any further consequences.

If the party does not rectify the breach, the other party may terminate the contract and seek damages for the loss suffered as a result of the breach. The measure of damages will depend on the extent of the loss suffered, which may include both direct and indirect losses.

In some cases, the parties may include a clause in the contract that defines what constitutes a material breach and what remedies the parties may seek if a material breach occurs. These clauses can help to clarify the parties` expectations and reduce the risk of disputes arising.

In conclusion, material breach of contract is a significant issue in English law, and parties must understand their obligations and potential remedies when a breach occurs. It is essential to seek legal advice before taking any action to ensure that the correct steps are taken and that any damages claimed are appropriate.