Business contracts are put in place to protect the interests of both parties. They clearly outline what is expected and when. The more detailed a contract is, the easier it is to settle disputes about who was supposed to do what and by what timeline.
When you have a problem with a business partner, vendor, or some other party, you may think that your next step is to sue them for breach of contract. You’ll certainly need to talk with an experienced Arizona business attorney to understand your legal options, but a lawsuit may not necessarily be your next step. So much depends on the details of what has happened and what is included in your contract.
Not just any breach of the contract will be considered grounds to bring a lawsuit. Instead, you have to show that there has been a “material” breach, or that what has happened will result in substantial injury to you or will be a substantial deviation from what was agreed.
For example, say you wanted a fence built around your property so that you can block out the noise and visual clutter from surrounding properties. You give the contractor specific guidelines or measurements. The fence is built, but it’s not quite as tall as you specified. The court may look at that and rule that it is not a material breach because the fence is still sufficiently tall enough to block out most of the background.
If you bring a lawsuit for breach of contract that does not show there has been substantial deviation or harm to you, you will end up wasting a lot of time and a lot of money in legal fees. You may even be ordered to pay the other party’s legal fees. So, it is very important that you review all the details of the case with a Chandler experienced business attorney to be sure you have grounds for a lawsuit before moving forward.
You may be tempted to abdicate your own role under the contract. For example, if the contractor doesn’t adhere to all the details when building the fence, you may refuse to pay. But doing so may put you at legal risk.
The rules that determine what constitutes a legally enforceable breach of contract also require that the breach must be material to justify you stopping your own responsibilities under the contract. You should always continue to act in the manner stipulated by the contract until you can get an official legal decision on the matter. For example, in some cases–especially if materiality of the breach is an undetermined issue–it might make sense for you to pay what is owed. Then, if you have cause to sue, you can get that money returned to you, plus damages. Always consult a Phoenix business attorney to better understand what your rights and responsibilities are. Never make any decisions on your own, or you risk creating an even bigger problem for yourself later.
The only way to truly know whether you should bring a lawsuit for breach of contract is to consult with an experienced business attorney. The business lawyer will review the details of the case and help you understand how those details would be evaluated under the law. You may, indeed, have cause to sue the offending party for breach of contract. Or you may be dealing with a more minor issue, and your attorney can advise you on what legal remedy you may have. Sometimes, just sending a strongly worded letter from a reputable business attorney can be all that’s needed to get the other party to make the situation right.
The business attorneys at Denton Peterson Dunn can help you if you are dealing with a business partner, vendor, or some other party that has not lived up to their responsibilities under a contract. We can also help you to craft strong contracts that will withstand scrutiny under future breach to ensure that you have a remedy. We serve clients throughout the Mesa, Scottsdale, and Phoenix areas. Call us today to schedule a consultation with a trusted business attorney and learn more about your legal options.
Brad Denton – Denton Peterson Dunn
Mesa Location
1930 N Arboleda #200
Mesa, AZ 85213
Office: 480-325-9900
Email: brad@dentonpeterson.com
Website: https://arizonabusinesslawyeraz.com
Scottsdale Location
7272 E Indian School Rd #540-132
Scottsdale, AZ 85251
Phone: 480-325-9919
Email: service@dentonpeterson.com
Website: https://arizonabusinesslawyeraz.com
Mastering Due Diligence In Business Purchases: Essential Steps & Insights The Ultimate Checklist For Successful…
Maximize Business Growth: Strategic Partnership Strategies For Success Turbocharge Your Business With Game-Changing Strategic Partnerships…
Expert Insights On Mergers & Acquisitions In Arizona: Comprehensive Guide How Arizona Businesses Can Leverage…
Common Issues In Franchise Litigation & Best Practices For Mitigating Risks In Your Business Legal…
How Does Arizona Law Protect the Rights of Creditors in Collections? Legal Strategies for Enforcing…
What Are The Key Factors In Managing Franchise Business Operations Efficiently? Essential Factors For Efficient…