COMMERCIAL & CORPORATE LAW

Unilateral cancellation of a contract in Zimbabwe

Where a party to an agreement fails to act in accordance with the terms of the agreement the other party is lawfully entitled to exercise their right to cancellation. The cancellation should be duly communicated to the other party. There is no legal requirement in Zimbabwe for one to obtain consent to or agree to a cancellation. 

Unilateral cancellation of a contract in Zimbabwe, once properly effected, is valid in law. see Padmore & Another v Gwarada & Others SC 108-25. A unilateral cancellation of a contract in Zimbabwe does not require the consent or concurrence of the defaulting party. The Supreme Court in Mwayera v Chivizhe & Others 2016 (1) ZLR 15 (S) 21D held that:

“It is trite that cancellation is a unilateral act which takes effect as at the time of its communication to the other party to the contract. It requires no concurrence from the party to the contract. It requires no concurrence from the party receiving notification of the same.”

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