Contracts are a necessary part of most businesses in Ohio. Companies need to guarantee that the various companies, customers and clients do what the company needs them to do. They need to rely on others to ensure that their business runs smoothly and is ultimately successful. However, while contracts are there to ensure both sides fulfill their obligations, sometimes people and companies do not follow them.
When this occurs, it is known as a breach of contract. The parties involved may try to resolve the issue between themselves, if possible, but sometimes they are not able to reach any agreements. The non-breaching party can be left in a very difficult situation and may suffer damages as a result of the breach. The non-breaching party may have no choice but to initiate a lawsuit against the breaching party.
How courts analyze breach of contract claims
If the parties to the contract need a judge to determine whether there has been a breach of the contract and the extent of the damages, the court will analyze certain factors. Judges will determine whether there was a valid contract and whether there had been any modifications to the original contract.
Once it is established that a valid contract exists, the judge will then analyze the obligations of each party under the contract. The judge will have to determine, based on all the evidence presented, whether there was a breach. If there is a breach of the contract, then they will determine the damages to the non-breaching party. They will determine either how much the breaching party needs to compensate the non-breaching party or other potential remedies to make the non-breaching party whole again.
There are many different contracts that companies enter into with vendors, clients, customers, manufacturers and others. Unfortunately, there are times when the other side does not fulfill their obligations and breach of contract lawsuits may result. Experienced attorneys understand contract law and both the claims that can be made as well as the potential defenses. Consulting with one could be beneficial.