If you are new to the business world or new to signing contracts, staying informed on how to protect yourself is important. There are many different types of breaches of contract – but do you know how to handle them?
Here at Dan Burke Attorney At Law, we are experts when it comes to all contracts. Here are common types of contract breaches you need to know about.
Common Types Of Breaches Of Contract
An actual breach of contract is a breach that has already occurred. This means that the breaching party has either refused to fulfill their end of the contract by the due date or they have not fulfilled their duties.
If an actual breach occurs, there are two different kinds of remedies the other party may pursue. The first is compensatory damages to address any economic losses from the breach. The second is consequential losses. These are indirect losses that go beyond the value of the contract but are still the result of the breach.
An anticipatory breach is when an actual breach has not yet occurred, however, one of the parties has indicated the intention to not fulfill their obligations under the contract. This mostly occurs if the breaching party has notified the other party they do not intend to fulfill their obligations. A claim could also be based on actions that are indicated by the breaching party.
A material breach is when one party receives less benefit or a different result than what was specified in the contract. Material breaches can also include the failure of one party to perform their obligations or perform them on time. If a material breach occurs, the other party can pursue damages related to the breach for both its direct and indirect consequences.
Also sometimes called a minor breach, a partial breach is when a party mostly fulfills their obligations in a contract but not all of them. In most cases, a legal remedy can only be pursued if the party that suffered the breach can prove the breach resulted in financial loss.
What Can You Do About A Breach of Contract?
If you are in a situation where you have hired a party to complete a task, signed a contract with them and they break it, you have the right to refuse to pay them and consider that contract voided. If you are unsure if there has been a breach, contact a breach of contract lawyer as soon as possible to get help on the matter. Your lawyer can advise you best on what you should do in this situation to keep you safe and protected against being liable for damages.
If you need help with a contract, then contact Daniel Burke Attorney At Law today. We specialize in small business law, probate law, and real estate law. We can help you with your contracts, deeds, leases, and more.
If you are in San Antonio, contact Daniel Burke Attorney At Law today and schedule your free consultation.