Human communication is a large and complex web. The contracts we make as individuals, be it large or small, make the world go round. Trust is given to people in our circles, and is lent to strangers with whom we want to work. By trusting and fulfilling contracts, work gets done, and anything can become possible. Unfortunately, in practice, the reality is that many official contracts and agreements we make can go unfulfilled or be breached, despite an initially shared sense of trust.
What is Breach of Contract?
A contract is, in simplest terms, an agreement. A contract is an agreement between private parties that contain mutual obligations that are enforceable by law.
Understanding breach of contract requires one to first understand how a contract is interpreted. The elements to a contract are primarily mutual assent,and adequate consideration. Mutual assent refers to a definite agreement between parties. There is typically some offer, followed by an acceptance of some sort, thus initiating the contract.
Adequate consideration just means that there is an exchange of something of value in a contract. For example, you might pay a manufacturer an agreed upon sum, and your consideration would be the set of products to be produced.
A breach of contract, then, is the violation of a contractual obligation. Refusing to accept a promise, not properly or entirely performing a promise, or impeding another’s performance are all forms of breach of contract.
How Can One Prove Breach of Contract?
Understanding what a breach of contract means begs the question, “How does one go about proving that an absence of promise occurred?” There are six main points one must be able to prove in a breach of contract case. First, one must prove that you and the party entered into a contract. Secondly, it is important to prove that your ends of the contract were either fulfilled or waived. If you have an unfulfilled obligation, problems may arise.
Once you have proven that you completed your end of the contract, it is important to prove the party’s obligations. From there, you will prove where the party failed to perform, or performed against the contract. The last two points go hand in hand: You must prove that you incurred damages or harm, and you must prove the extent of the damages or harm suffered.
By being thorough in gathering your necessary evidence with the aid of an experienced attorney, your claims of an unfulfilled contract are likely to go over better in court.
Struggling Due to a Breach of Contract? Contact Our Office Today
Any time there is a breach of contract, it can become the beginning of a stressful period for the affected party. Not only did a promise go unfulfilled, but the ramifications can be severe, and there is an added stress in taking action to repair the damage. The good news is that there are always options available, and that breach of contract need not be at the top of your worries. At SAC LLP, we believe that contracts should be upheld and honored. To set up an appointment to discuss your case with us, please contact our team of civil litigation attorneys at (408) 716-3492.
FAQs
First, one must prove that you and the party entered into a contract. Secondly, it is important to prove that your ends of the contract were either fulfilled or waived. If you have an unfulfilled obligation, problems may arise.
What is required to prove a breach of contract? ›
First, one must prove that you and the party entered into a contract. Secondly, it is important to prove that your ends of the contract were either fulfilled or waived. If you have an unfulfilled obligation, problems may arise.
What are the requirements for an actual breach of contract? ›
Actual breach of contract occurs when one party fails to fulfil their contractual obligations within the agreed timeframe or performs them inadequately. This can include not delivering goods, services or payment, or not meeting agreed-upon quality standards.
How do you determine if there is a breach of contract? ›
4 Elements of a Breach of Contract Claim (and more)
- The existence of a contract;
- Performance by the plaintiff or some justification for nonperformance;
- Failure to perform the contract by the defendant; and,
- Resulting damages to the plaintiff.
An actual breach is when one party completely fails to meet the terms of the contract. If you are the other party, then you decide what course is best for your business: Use the remedy written into the contract. Agree to create a new contract.
What burden of proof would be applied to a breach of contract case? ›
If the defendant in a breach of contract claim wants to prove that there was an intervening event that made performance of the contract impossible, the defendant has the burden of proving this.
What is a legal excuse for breach of contract? ›
This practice note covers excuses that develop after contract formation, such as failure of a condition, supervening events, impossibility, impracticability, frustration of purpose, anticipatory repudiation, and later agreements between the parties (including modifications, waivers, rescissions, and accord and ...
What 3 elements must a breach of contract claim? ›
What Elements Are Involved In a Breach Of Contract Claim?
- Prove The Existence Of a Contract. ...
- Prove That Contractual Obligations Were Performed. ...
- Prove That The Other Party Failed To Fulfill Their Contractual Obligations. ...
- Prove The Other Party's Failure To Perform Caused Damages.
For example, a breach of contract cause of action must include the following allegations: 1) the existence of a contract, including whether the contract was oral or written; 2) performance or attempted performance of the contract by plaintiff; 3) breach of the contract by defendant; and 4) damages suffered by plaintiff ...
How to solve a breach of contract? ›
Remedies for Breach of Contracts
- Damages. This is the most widespread remedy for a breach of contract. ...
- Injunction. The injunction is a legal remedy issued by a law court to address and prevent further contractual violations immediately. ...
- Specific Performance. ...
- Mediation. ...
- Arbitration.
Once the plaintiff proves that a valid contract existed, they must show that they upheld their part. After that, the plaintiff must show that the defendant did not fulfill their obligations. And finally there must be evidence of actual damages that the plaintiff suffered as a result.
Is it worth suing for breach of contract? ›
When a breach of contract happens, the non-breaching party may suffer significant financial losses. While there are options other than suing someone, sometimes a lawsuit is the only realistic option to recover.
How is a breach determined? ›
Proof of breach
A judge adjudicating a breach of contract claim must consider many factors. Most fundamentally, perhaps, a judge must decide if a valid, legally binding contract existed in the first place. In order to do so, that judge must decide if each of the key elements of a contract is present.
What is needed to prove breach of contract? ›
To succeed in a breach of contract case, you must prove that the following basic elements of a breach of contract are present: The existence of a valid contract – You (the plaintiff) and the other party (the defendant) entered into a valid and existing contract.
What is the document for breach of contract? ›
A Breach of Contract is a letter notifying the recipient that they failed to uphold some or all of the terms included in an agreement between the company and the individual or entity that agreed on the terms.
What is an example of an actual breach of contract? ›
An actual breach occurs when one party fails to perform their contractual duties as agreed. For instance, suppose you hire a contractor to renovate your kitchen by a specific date. However, the contractor does not finish the work on time or leaves it incomplete.
What are the 4 elements the plaintiff must prove in a breach of contract case? ›
These types of lawsuits are common in business litigation. There are four elements of a breach of contract claim: a valid contract, performance, breach, and damages.
What factors should be considered before suing for breach of contract? ›
Steps to Take Before Filing for Breach of Contract
- Consider the Statute of Limitations. ...
- Breach of Contract Must Be Material & Cause Damage. ...
- Mediation & Arbitration. ...
- Determine the Appropriate Court to File Your Lawsuit. ...
- Determine How You Will Serve the Defendant. ...
- Prepare Your Complaint and Documentation. ...
- Hiring an Attorney.
Impossibility, impracticability, or frustration of purpose.
In general, these defenses allege the breaching party could not perform their contractual obligations because of factors beyond their control. They would have performed but couldn't because circ*mstances made it impossible or impracticable to do so.
