A contract dispute that leads to litigation can be costly for your business. A judgment levied against you can also be harmful to your business’s reputation. That’s why it’s oftentimes best to find a way to resolve these matters prior to heading to court. Even if you do end up facing litigation, though, taking the proper steps beforehand can develop a stronger record on which you can rest your case. That’s why you may want to consider negotiating and carefully abiding by any cure provisions in your contract.
How cure provisions work
Simply put, a cure provision in a contract gives a party the opportunity to remedy a breach before legal action is taken. The cure typically must be completed within a specified period. The breaching party must be put on notice of their defect and when the cure needs to be perfected by, so be sure to refer to the cure clause in your contract to ensure that notice has been properly given.
Know a cure’s limitation
A cure may not always be as effective as hoped. This is because oftentimes it only addresses material breaches in a contract. In some instances, though, the cure provision may require that the breaching party carry out specific performance in adherence to the contract’s terms. You’ll need to know the limitations of any cure provisions in your contract, as well as how those provisions interact with the law, so that you can ensure that the proper action is being taken.
Don’t leave your contract dispute to chance
Improperly navigating a contract dispute can be costly. That’s why you may want to bring an attorney into the fold as quickly as possible when allegations of contractual wrongdoing arise. By doing so, you can better protect your interests, developing the legal arguments and strategies needed to do so. If you think that you could benefit from that kind of advocacy, then now may be the time to reach out to one of those attorneys.