What Can I Do if Another Person Breached a Contract?


Contracts are a necessary component of any business exchange. Regardless of how close the parties are to each other personally or how clearly the terms are laid out, there is always a chance that a breach of contract will occur. A contract can be established between two businesses, a vendor, an employee, or any other party that offers goods or services. When a breach of contract happens, it can cause financial loss and frustration for everyone else involved in the agreement. If you are a party within a contract that faced loss because of a breach, here are some steps you can take towards resolving the issue effectively and as peacefully as possible: 

Reach Out to the Other Party

The other party may not have even realized they breached the agreement. There’s no need to make the breach a bigger issue than it is if the other party is willing to make amends quickly. If the breach entails a lack of payment, then there may be a way to agree upon a payment plan or another approach to fulfilling the contract duties without pursuing legal action. It is worth reaching out to the party first or having your lawyer contact them, to explore options at a resolution. 

Don’t Forget About Statute of Limitations

Keep in mind that when dealing with a breach of contract, that you don’t have all the time in the world to take action if needed. Based on your state law, you may only have a few years to file a breach of contract suit for a written contract. Certain kinds of contracts may only have a two year limit before you cannot pursue a claim. Don’t wait too long to talk with a lawyer about how you can recover your losses before the statute of limitations runs out. 

Calculate Your Damages

When pursuing a breach of contract claim, you have to prove the damages you experienced. The court may order compensation of a monetary value based on the evidence of loss you have brought forward. Or, the court may necessitate that the other party fulfills his or her obligations, called “specific performance.” An experienced business lawyer, like a business lawyer in Melbourne, FL, can provide you with the paperwork to file for the suit, in addition to helping you make a strong case regarding the severity of damages. 

Try Alternative Dispute Resolution 

Not every case of breach of contract has to go to court. In fact, you can save money and time by resolving the issue in mediation or arbitration instead. Some contracts may require that all parties attempt at resolution through alternative means first. By avoiding court, it can keep the breach of contract private as well, and tends to be a less adversarial approach. If you want to maintain an amicable relationship with the other party in the contract, then attending mediation or arbitration may be worth it. If alternative dispute resolution doesn’t work, then your lawyer can help you prepare for the next step, which would be handling the matter in court. 

Thanks to the Law Offices of Arcadier, Biggie, & Wood, PLLC for their insight into how to deal with someone breaching a contract. 

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