What is a breach of contract?

On Behalf of | Jun 2, 2020 | Business Litigation |

In Ohio, contract disputes sometimes arise between contracting businesses. A contract breach occur when one contracting party fails to perform its contractual duties as described in the contract. Some breaches of contract can be cured so that both parties can continue under their contracts. Others are material breaches that prevent one or both parties from performing their contractual duties and can result in litigation.

Before someone can file a breach of contract lawsuit, the plaintiff will need to show four things. The plaintiff must show that a contract existed, was valid and was breached by the defendant. The plaintiff will also have to show that they performed all of their duties under the contract. Finally, the plaintiff will need to show that the defendant was notified about the breach of contract before the plaintiff filed the lawsuit.

A partial or minor breach of contract is not enough to excuse the plaintiff from performing duties under the contract. These types of breaches are often resolved outside of court through negotiation or mediation. Material breaches of contract are severe breaches and excuse the plaintiffs from continuing under the contracts. Defendants can defend against breach of contract lawsuits by arguing that the entered into the contracts because of undue influence, duress or fraud. They can also defend against lawsuits by arguing that they made mistakes or that the lawsuits were filed outside of the statute of limitations.

When a contract dispute arises, a business might want to consult with experienced business litigation attorneys. Depending on the severity of a breach, the attorneys may be able to negotiate a resolution to the dispute so that the parties can continue performing their duties under the contract. If the breach is severe, the attorneys may file formal complaints to try to help their clients recover damages for their losses.

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