Understanding Contract Disputes in California
Contract disputes are among the most common matters we handle. Whether you're a small business owner or a Fortune 500 company, understanding the basics of contract law can help you protect your interests and avoid costly litigation.
What Constitutes a Breach of Contract?
A breach of contract occurs when one party fails to perform their obligations under the agreement without a legal excuse. The breach can be material (going to the heart of the contract) or minor (a small deviation that doesn't substantially affect the agreement's purpose).
Common Defenses
- The contract is unenforceable due to a lack of consideration or other formation defects
- The other party breached first, excusing your performance
- Impossibility or impracticability of performance
- Statute of limitations has expired
What to Do Next
If you believe a contract has been breached, the first step is to document everything: the original agreement, all communications, any partial performance, and the damages you've suffered. Then consult with experienced counsel to evaluate your options.
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