When you enter a legal contract with another party, you expect them to keep to the terms of the agreement. If they do not, then they are in breach of contract. If you have dedicated significant resources or time to a purchase or project, you may be entitled to compensation. Either party can avoid breaches in contracts by working with contract attorneys that can draft up bulletproof agreements.
Breach of contract claims can also arise from contractor disputes and non-payment, especially when one party alleges that work was incomplete, delayed, outside the agreed scope, defective, or unpaid despite performance under the contract.
At Stone and Sallus, our Los Angeles breach of contract attorneys can walk you through the process of maximizing recovery for losses and fight to prove direct and indirect damages.
What is a Breach of Contract?
A breach of contract happens when there’s a failure to abide by the terms of a contractual agreement or as a result of an agreement violation when there’s interference with another’s party’s ability to fulfill contractual obligations. This may include failures to deliver goods or services, an unfinished job, failure to pay, or when certain standards are not met.
If you have entered a contract with another person or company and they do not meet the obligations of your legally binding agreement, they are in breach of contract.
Types of Breach of Contract
Not every breach of contract looks the same. Some disputes involve a total failure to perform, while others involve late performance, incomplete work, missed payments, or conduct that makes it clear one party does not intend to honor the agreement.
Common types of breach of contract include:
- Material breach: A serious violation that affects the main purpose of the agreement.
- Minor breach: A smaller issue where most of the contract was still performed, but one party may still suffer damages.
- Anticipatory breach: When one party clearly indicates they will not perform before the deadline arrives.
- Actual breach: When a party fails to perform as required when performance is due.
These claims can arise in many business and real estate situations, including a seller suing buyer for breach of contract after a failed transaction, missed payment, refusal to close, or failure to meet agreed terms.
Understanding the type of breach matters because it can affect available remedies, negotiation strategy, and whether the non-breaching party may be excused from further performance.
Contract Requirements in California
Before a breach of contract claim can move forward, there must be a valid and enforceable agreement. In California, this generally means the contract must include clear terms, mutual consent, consideration, lawful purpose, and parties with the legal capacity to enter the agreement. If these basic requirements are missing, it may be harder to prove that a binding contract existed.
Some agreements must also be in writing to be enforceable under the statute of frauds, including certain real estate contracts, long-term agreements, guarantees, and other specific types of contracts. When a dispute arises, reviewing the contract’s formation, written terms, signatures, and required elements is often one of the first steps in determining whether a breach occurred.
Our Los Angeles Breach of Contract Attorneys
Breach of contract attorneys will need to review the contract and determine what rights you have, what obligations the other party has, and what remedies are available to you.
Jason Stone & Daniel Sallus, Breach of Contract Lawyers
Common proof required in a breach of contract lawsuit:
- Proof of an existing contractual agreement
- Proof of loss or damage
- Proof of breached terms within the contract
In order to establish that breach of contract has occurred, you must be able to verify that a contract between you and the other party existed, that it was broken, that there’s loss or suffered damages, and that the respondent was responsible.
How to Reduce the Risk of a Breach in Contract
You should work to prevent contractual misunderstandings, problems, and disputes. The best way to do this is to write a draft document of an agreement, give it to all prospective signatories to read over, and then re-convene with them to hash out any objections they may have. The risk of a breach will always exist, but it can be minimized if you take such practical steps.
If, for example, you have established an informal relationship with a prospective business partner, supplier, or client and you want to move toward a formal contract with them, you should hire a business lawyer before entering negotiations. Your lawyer should be with you during the entire process, even if you and the other party are the only ones doing the talking. You should have your lawyer write the draft contract, and if you make any changes to it your lawyer should review them. The final details should be hammered out by your lawyer and the counsel of the other party. This is the best way to reduce the risk of a breach of contract.
If a breach still occurs, you should contact a lawyer as soon as possible. It will save you time, energy, and resources if you are able to stop the negative effects of such a breach and get the other party to fulfill their obligations. A Los Angeles breach of contract lawyer may be able to recommend early negotiation, mediation, and other cost-effective resolutions. They may be able to take the kind of action that will allow you to resolve the matter without filing a lawsuit or going to trial.
Resolving a Breach of Contract in California
You may be able to resolve a breach of contract through mediation or arbitration. If this is not possible, and the breach is too severe or has led to consequences that are irreversible, then you may need to seek monetary damages and restitution through Los Angeles and California courts. Such remedies are regulated by certain principles, and you can only be awarded damages in specific situations.
Other remedies can be awarded along with monetary awards. Depending on the particulars of your case, the court may require the other party to perform their obligations or may serve an injunction against them. You might also get restitution, which requires the offending party to give you property equivalent to the value of your loss or a sum of money that reflects the extent to which the breach has injured you.
Contact Our Breach of Contract Attorneys in California Today
If another party has not fulfilled their contractual obligations to you, the first step is to try to reason with them. Failure to fulfill a contractual obligation may come down to an error or oversight on the part of the other party. If this attempt fails, then you should contact a Los Angeles breach of contract attorney at Stone and Sallus and begin proceedings against the offending party.
You should never try to resolve escalated situations on your own and when in doubt, seek legal consultation. You must seek damages from a party that has failed to fulfill its contract using an attorney that understands fully how breach of contracts work. For example, breaches of contract in construction disputes, real estate transactions or other specific legal issues are all areas of specialization for our firm.
An attorney who specializes in this area of law will be able to gather and analyze the facts of your case. Contact 310.889.0233 to receive a consultation from one of our breach of contract attorneys at Stone and Sallus.
