Learning More About Business Contract Disputes

Learning More About Business Contract Disputes

When you sign a contract, you probably feel a sense of relief. Whether you are paying for goods and services or are providing goods and services to someone else, a contract states that both parties will hold up their end of the deal. When the other party chooses not to hold up their end of the contract, though, things can become messy. You may be out the money or you may not have a product you were promised. When this is the case, a contract breach has occurred. With the help of a local business attorney, you can do your due diligence to fight this breach of contract. 

What is a material breach of contract? 

Not all contract breaches will be so severe as a material breach of contract. In some instances, you may still be able to get the goods or services you paid for or get paid for the services you provided. When this is the case, there is not much damage done in the end. However, if you are facing a material breach of contract, that means that the other party so severely damaged the heart of the agreement that the contract can no longer be fulfilled. If this happens and the other party has committed a material breach, you can go to court to void the contract and also seek damages. 

If the other party is able to fix this is it still considered a material breach? 

Not likely. If the other party could fix the breach by providing you with the agreed-upon amount or by providing you with the goods and services, it likely is not a breach. For example, if you hired contractors to install smart lighting in your office building but they only installed LED lights, this is a situation that the other party could fix by re-installing the correct lights. A refusal to do so could result in a material breach. 

What if part of the work has already been completed? 

Typically if a contractor or the other party has already provided you with most of the work or the goods listed in the contract, this is not likely a material breach. Especially if the other party has the capability and willingness to fix it, a court likely would not look at this and label it as a material breach. 

If you are interested in seeing what a business law lawyer from a law firm like The Law Office of Daniel J. Wright can do after a breach in contract, consider reaching out to your local attorney today.