White Collar Legal

Breach Of Contract Claims

Breach of Contract Claims

A breach of contract can come in different forms but no matter how it happens, there is something you can do about it

Types of Contracts

There are various ways a contract can be made between parties.

A contract can be made in writing or verbally.

A contract can also be made by a person taking action which would indicate their agreement.

Contracts can also be made by the sale or supply of goods and/or services.

Contracts occur in every business. It might be as simple as the agreement with your milkman to deliver the milk and your obligation to pay for it or it might be an order you made with a major supplier.

When is a Contract breached?

A contract is breached when a party fails to perform their obligations under a contract.

Examples of breaches are:

  • A company failing to deliver goods after you’ve paid for them
  • A company failing to provide services or failing to provide services to an agreed standard
  • A company selling a product that is not fit for purpose
  • A customer failing to pay an invoice or bill
  • A party failing to fulfil his obligations within a reasonable amount of time

What to do when a contract is breached?

A breach could have varying effects on you or your business. A breach may result in loss of business or cash flow issues. A breach could have a more serious effect in that it could cause harm, injury or even death. The action you take to remedy the breach will depend on the type and effect of the breach.

As a result of a breach you may decide to not perform your obligations under the contract. However, in some cases, you may have already performed your obligations and therefore you may therefore take legal action for compensation (damages) caused by the breach or instead of compensation, you could obtain an Court order enforcing the other party to perform their obligations under the contract.

For further information, you may want to watch our YouTube Presentation: Contract Law – The Basics

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