What Can I Do About a Breach of Contract?

 Posted on July 06, 2024 in Business Law

Business contracts are legally binding documents that protect the rights of every party involved in an agreement. However, when one party fails to uphold its end of a contract, that party may be in breach of contract.

Breaching a business contract can have serious consequences, including the potential for a lawsuit to recover damages. An experienced Texas business law attorney can help you explore your options if you are involved in a contract dispute.

Types of Contract Breaches

There are a few different types of contract breaches, including:

• Minor breach – This occurs if a party breaches only one small part of the contract in a way that does not affect the other contract terms. 

• Material breach – This occurs if a party fails to uphold its end of the contract or fundamentally breaches the contract in such a way that the contract’s value is significantly diminished.

• Fundamental breach – This is a type of breach so severe that it threatens the validity of the contract or justifies the other party breaking the contract and seeking damages.

Each breach of contract can generally be categorized into two types of breach: 

• Actual breach – Actual breaches occur when a party does not fulfill its obligations under the contract. 

• Anticipatory breaches – Anticipatory occur when one party makes clear with words or actions it cannot or will not complete the terms of the contract.

Options for Resolving a Contract Breach

Breaching a contract can come with serious consequences, no matter the type. Typically, these consequences include monetary damages and the enforcement of the contract’s terms.

If you cannot negotiate a solution to a contract dispute with the help of an attorney, you may need to file a lawsuit against the party that breached the contract. Remedies that could be awarded include:

• Compensatory damages – These damages may be required from the party that breached the contract to cover any harm caused by the breach.

• Punitive damages – These damages may be awarded in a lawsuit in which the party that breached the contract violated the law or committed fraud to do so.

• Contractual obligation fulfillment – The court may require that the party that breached the contract uphold that party’s end of the contract’s terms.

• Cancellation of the contract – This occurs when the court releases both parties from their contractual obligations.

• Revision of the contract – This occurs in cases of errors or misunderstandings, and the court can modify or revise the contract to better suit the expectations of both parties.

Contact a San Antonio, TX Breach of Contract Lawyer

Breach of contract disputes are challenging to resolve. You will need the legal knowledge of a skilled Bexar County, TX contract dispute attorney to navigate this process. With our help, you can protect your interests and work to ensure your business continues successful operations despite any breach of contract that may have occurred.

Call Geoff Mayfield, Attorney at Law at 210-535-0870 for a free consultation.