Which type of performance results only in minor deviations and prevents material breach?

Study for the CLEP Business Law Test. Engage with flashcards and multiple choice questions, each question has hints and explanations. Prepare effectively for your exam!

The correct answer is substantial performance. This concept comes into play in contract law, where a party fulfills most of the contractual obligations but may have minor deviations from the agreed terms. Substantial performance allows the party to be deemed as having fulfilled their obligations sufficiently to avoid a material breach.

In this context, a material breach occurs when one party fails to perform a significant part of their obligations, thereby allowing the other party to terminate the agreement. However, if the performance is substantial, meaning the deviations are minor and do not substantially undermine the purpose of the contract, the performing party is still typically entitled to compensation, possibly adjusted for the minor deficiencies. This principle acknowledges that perfection in performance is often impractical and that slight variances don't always equate to a failure to meet the fundamental purpose of the contract.

Total performance, full performance, and complete performance all suggest that the party has wholly fulfilled their contractual obligations without any minor deviations. Thus, they do not specifically pertain to situations involving minor deviations, which is why substantial performance is the right answer in the context of this question.

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