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Beaching contracts: You can pursue a claim

On Behalf of | Dec 28, 2017 | Contract Disputes |

When you created a contract between your business and another, you expected it to hold. You expected the other business to uphold its end of the deal while you committed to yours. Unfortunately, that didn’t happen.

Now you’re left with a mess. You need items you’re not getting and you’re losing money. What can you do? One option is to sue for a breach of contract.

What is a breach of contract?

Like it sounds, a breach of contract happens when one party doesn’t follow through on the terms of a contract. For example, if you agree that you’ll pay $100 for a regular delivery of coffee and then decide only to pay $75, you are in a breach of contract. Likewise, someone who offers to pay you for your services and then fails to do so is also breaching a contract.

Can you sue for a breach of contract?

If a breach of contract happens or is alleged, it’s your right to pursue a claim to recover any financial losses that took place as a result. Usually, people do take informal steps to correct any issues, and some cases can be resolved in small claims court.

For larger claims, court is an option, but mediation and arbitration could work as well. With mediation, a third-party mediator is there to help you and the other party negotiate. With arbitration, a third party listens to both sides of the conflict and then makes a decision. Mediation is generally nonbinding whereas arbitration may be legally binding, which is something to keep in mind. Our site has more on the importance of pursuing your claim.


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