3 possible solutions to a lawsuit over a breach of contract
You write out contracts to protect your company from unreasonable demands and failures by others. When another person or business fails to fulfill its contractual obligations to you or your company, you may suffer significant financial losses.
An employee, supplier or client violating their contract with you could cause real damage and disrupt your daily operations. If you have already checked your contract and know that the situation constitutes a significant breach of the terms you previously set, you can potentially take the other party to court.
If the judge rules in your favor, there are several legal solutions that could help you. What are the possible ways to address a breach of contract?
By ending your contractual obligations
A violation or breach of one part of a contract does not necessarily invalidate the rest of the document. If you no longer trust the other party or want to do business with them, however, this solution can be a way to end your obligations.
By seeking specific performance
Sometimes, the other party’s failure to follow through with their obligations can leave you in a bind. The courts can sometimes require that a company or person make good on their contractual obligations. A judge ordering specific performance compels the other party to complete their end of the contract.
By asking for damages
If you have provable losses incurred because of the other party’s breach, you can ask the courts to award you damages. You will generally need documentation to prove financial damages related to a breach of contract claim.
Learning the different possible solutions for a breach of contract can help you push for the best outcome during contract-related litigation.