Contract Dispute Lawyers

In an ideal world, there would never be a contract dispute. Parties would enter into a business contract or other agreement, all sides would benefit, and there wouldn’t be any disputes or disagreements. But in business, financial issues can emerge, delays can crop up, and other problems can lead to contention that might require legal intervention.

Learn below about breach of contract and how an attorney can help. If you need legal assistance, the contract dispute lawyers at Nix Patterson can review your case at no cost.

Breach of Contract Definition

A contract involves obligations that the parties in the agreement are to fulfill. Legally, when one party does not fulfill its contractual obligations, it is called a breach of contract. Depending on the case, a breach can happen when one party does not perform their duties promptly, fails to perform according to the contract terms, or does not do them at all.

A breach of contract is usually termed a material breach or immaterial breach to determine the correct legal solution to remedy the breach.

Who Can Dispute a Contract?

Contract disputes usually happen when one party accuses another of breaching the contract. That is, one party (the non-breaching party) argues that one or more others (the breaching party or parties) did not fulfill or otherwise violated the terms of the contract that the parties agreed upon.

In most cases, the parties to the contract can sue each other for damages because of a breach of contract. For example, in a confidentiality and non-compete agreement breach, one can typically sue the other for stealing ideas or intellectual property for personal gain.

It isn’t unusual for one party to the contract to sue and then be countersued by the other. Contract disputes are often resolved through mediation, but a contract dispute lawsuit may be necessary if that doesn’t work.

Breach of Contract Remedies

When a party breaches a contract, and there’s a contract dispute, the other party is entitled to relief according to the law. Depending on the law and terms of the agreement involved, there are generally three types of relief that may be available for a breach of contract case:

Damages

Payment of damages is the most common way to resolve a contract dispute. Depending on the law and contract involved, damages may include one or more of the following:

• Compensatory damages. Intended to put the party in the financial position they would have been in if there had been no breach.
• Punitive damages. Payments the party that breached must make more than compensatory damages. Intended to punish the breaching party for the wrongful act.
• Nominal damages. Small amount or token damages that may be awarded when there is a breach of contract, but no monetary loss was proven.
• Liquidated damages. Specific damages were listed in the contract if there is a contract breach. Liquidated damages are intended to estimate actual damages that could occur from a breach.

Specific Performance

If damages are insufficient to resolve a contract dispute, the non-breaching party may seek specific performance. This refers to the court-ordered performance of duty of the breaching party according to the contract.

Specific performance may be an option if the agreement’s subject matter is unique or rare, and damages would be insufficient to put the non-breaching party in their original position if the breach hadn’t happened.

Cancellation and Restitution

The non-breaching party also may be able to cancel the business contract and sue for restitution. Restitution means that the party that didn’t breach the contract is put in the position they were in before the breach. Cancellation voids the agreement and relieves all sides of any contractual obligations.

How to Dispute a Contract

Most business contracts contain a contract termination section that outlines what is required for cancellation. For example, the contract termination agreement may include a fee and other requirements, such as eliminating all references to the business to avoid future affiliation or providing certain specified forms of notice.

Use caution if you are thinking about deliberately breaching a contract because you can be penalized according to the terms and conditions of the contract. The penalties vary by contract.

It is not recommended to purposely breach a contract you signed without talking to an experienced contract dispute attorney first. Working with a contract dispute lawyer can prevent you from making big mistakes leading to financial and even legal penalties.

If you dispute a non-competition agreement, you must demonstrate there isn’t a need to enforce the agreement or prove there was a breach of contract. Another potential argument is that the contract terms were not set for a long enough time.

How a Contract Dispute Attorney Can Help

Nix Patterson employs a team of experienced contract dispute attorneys who can address most contract disputes, such as:

• Construction contracts
• Sales contracts
• Lease agreements
• Oral or implied contracts
• Service agreements
• Vendor contracts
• Employment contracts

Nix Patterson understands that breach of contract cases are often delicate. Contract disputes often pit the employer against the employee, investor vs. broker, or landlord vs. tenant. Whether you’re an individual, a family-owned business, or a corporation, you can contact Nix Patterson to determine whether the firm can represent your interests and help to resolve business disputes.

How to Avoid Contract Disputes

Some contract disputes are unavoidable, but following these guidelines may help avoid those contract disputes that may be avoidable:

• The contract should list every party involved. For example, if the contract has corporations and multiple parties, they should be named properly and consistently in the document.
• Define all terms. All parties’ responsibilities should be defined in as much detail as possible.
• Timelines for performance should be included. For example, consider having deadlines for every phase or checkpoint to review progress in a long project.
• Set expectations and the quality level. Expectations should be listed for the quality of the final product, as well as naming who is responsible for deciding if quality standards were met.
• Detail how contract changes will be made. For instance, state if changes must be done in writing and agreed to by all parties to the contract.
• Review with a lawyer. Read the contract carefully before signing, and have your contract dispute attorney check that the agreement fully represents your interests.

Contact Our Nix Patterson Contract Dispute Lawyers Today

When you understand your legal options in a contract dispute, you can ensure you take the correct steps to handle a breach of contract so your business can continue to operate normally. Contact the contract dispute lawyers at Nix Patterson today to discuss your case.