Legal Memorandum: Time is of the Essence Contract Provisions

Issue: Under Colorado law, how does a court interpret contract language that recites ‘time is of the essence’?

Area of Law: Business Organizations & Contracts, Litigation & Procedure
Keywords: Time is of the essence; Time for performance
Jurisdiction: Colorado
Cited Cases: None
Cited Statutes: None
Date: 11/01/2014

When time is of the essence, time must be viewed as a vital term and performance within the time specified is essential.  Ranta Constr., Inc. v. Anderson, 190 P.3d 835, 841 (Colo. Ct. App. 2008).  If no specific time is set for performance, the law implies a reasonable time under the circumstances.  Id.  Where a time for performance was set, the rule that performance must be within a reasonable time under the circumstances does not apply. 


Subscribe to Litigation Pathfinder

To get the full-text of this Legal Memorandum ... and more!

(Month-to-month and annual subscriptions available)