Helping Businesses in the Local Community for Over 20 Years
By far the most common type of business litigation is a breach of contract. A breach of contract occurs when two parties enter into a binding contract yet one party fails to live up to its agreement. A breach can occur when a party neglects to perform its duties in accordance with the agreement, or does not perform at all.
Non-performance can occur in any type of business environment where a contract is present. But they most commonly occur in real estate transactions… lease agreements… partnership agreements… purchase and sale agreements… insurance contracts… commission contracts… and non-compete agreements.
A breach of contract should be taken very seriously. A breach can be detrimental to a businesses bottom line – and can even lead to a temporary cessation of a company’s entire operation. Regardless of the circumstances, when a breach occurs you should consider legal representation immediately. Whether the breach occurred “accidentally” due to unexpected events or because of flat out wrongful conduct by one of the parties you may be entitled to collect compensation for your losses.
In order to win a breach of contract case, you must prove a valid contract existed to begin with and that a true breach occurred. Let’s take a closer look at both of these critical elements.
If you’re trying to determine whether a valid contract exists, you should ask yourself three questions:
If you can answer “yes” to these three questions and you can prove a valid contract exists, you have made the first step in proving a breach of contract case. Keep in mind a contract does not have to be in writing. Oral contracts, for obvious reasons, are harder to prove, but they can be enforced under the law as well.
Once you prove a contract exists, you must next prove the contract was breached. Simply put, a breach occurs when a promise made in your contract is broken. Some gray areas exist. For example, if nothing of value was lost from a contract, then the breach would be considered too inconsequential to justify a lawsuit.
And some breaches carry more weight than others. For example, when a critical aspect of a contract is breached, the non-breaching party can terminate the contract fully. This is the most serious type of breach of contract. It’s even possible for a non-breaching party to take action against a party they suspect will breach — even before the breach occurs.
Finally, recovering from a breach of contract can mean receiving money lost during the breach… getting back money lost due to expenses incurred… and possibly even receiving punitive damages from the party breaking the contract.
The offending party may also be required to fulfill his obligation or the contract may become nullified entirely.
An experienced commercial litigation attorney will review the disputed contract and determine the proper steps to recovery. Many times an agreement is reached. However, disputes often arise and attempts at amicable resolutions fail. In this situation litigation in court may be your only alternative.
We at the law office of Joseph H. Ostad can help reach your desired outcome. We’ve been representing both large and small businesses in contract disputes and litigation in the Baltimore- Washington area for more than 20 years. When it comes to breach of contract, our firm has achieved significant results by aggressively pursuing negotiated settlements or obtain large judgments that benefit our clients while preserving their financial resources. We always attempt to resolve disputes first. However, if resolution is not possible and it becomes necessary to take the case to trial, we’ll do so without hesitation.
Breach of contract cases and commercial disputes can be complex. An attorney with the experience and skills necessary for handling your case professionally is critical to your success. My firm will handle each step of the process with complete focus on you and your desired outcome. Please contact us today for a free consultation. You can call 800-320-0080 and talk to us directly or click here to contact us online and set up in appointment at our Rockville or Baltimore office