A breach of contract is a serious issue that can be detrimental to your business. Business owners in New York should understand the basic concepts of what constitutes a breach of contract and what remedies are available if a breach happens.
Violating the terms of a contract can come in many forms. It may involve one party failing to complete the terms of the agreement or interfering so the terms of the agreement cannot be completed. The types of breach of contract include:
- Material breach: Substantial issues that result in one or all parties being unable to complete the duties of the contract.
- Partial breach: Minor issues that typically do not result in the duties of the contract to go unfulfilled.
- Anticipatory breach: One party suspects the other party may breach the contract. This is the most difficult type of breach to prove in a breach of contract case.
Can you recover losses after a breach of contract?
Remedies for breach of contract vary, but there are several ways a plaintiff may be made whole. Remedies include a monetary payment that covers the losses suffered due to the failure to fulfill the duties of the contract or monetary damages awarded to the plaintiff, which can include punitive damages if the court determines the plaintiff deserves additional compensation. Other remedies may include an injunction by the court to stop the guilty party from further damaging actions and a rescission of the contract, which allows the plaintiff to terminate the deal.
Why experienced legal representation is necessary
Due to the complex nature of breach of contract claims, it is vital to work with a business law attorney if you suspect a breach of contract or if you are being sued for a breach of contract. Our attorneys at Rich Michaelson Magaliff, LLP, in New York City, have a record of strong client advocacy in these types of claims. We know the risks to your business and what action to take to protect you and your business. We welcome individuals and businesses to learn more about our firm by exploring our website.