3 Steps To Take When A Breach Of Contract Happens (4 Video Links)
Contracts are an essential part of running a business. They make sure everyone holds up their end of an agreement. At least, they’re supposed to. Sometimes, a breach of contract happens. Since these can be relatively rare, it’s natural not to know when this happens.
Consult with a licensed attorney regarding all legal issues.
While it can be a frustrating experience, it doesn’t have to be a complicated one. All you’d need to do is follow a few simple steps when a breach of contract happens. Three of these can be vital to the process, as they’ll make sure all the legalities are covered. They’re worth looking into to help protect your business.
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1. Talk To The Other Party
Sometimes, a breach of contract happens based purely on an honest mistake or some kind of miscommunication. When it first happens, speak to the other party to figure out what actually happened. You wouldn’t want to be too rash with your decisions going forward, after all.
If it’s been an honest mistake, then the two of you can work together to rectify the situation quickly and easily. You shouldn’t have to do much else beyond this, and it could avoid quite a few headaches.
2. Consider The Damages Involved
The damages involved when a breach of contract happens could play a significant role in what happens next. If they’re relatively small, it might not be worth going much further than speaking to the other parties involved and sorting it out yourself. Mediation can also be an option in this department.
If it’s relatively large, however, you could need to go the legal route and take them to court. The key to deciding this is based on whether or not the compensation you’ll get back is worth how much you’ll spend on lawyers and court fees. Make sure it’s worth it before going further.
3. Contact An Attorney
If you and the other party can’t come to an amicable solution, then there’s a decent chance you’ll need to go the legal route. That means looking for legal help. Googling “civil attorneys near me” is a great place to start with this, but you should also make sure you choose the best possible option for you.
Contract attorneys and ones that specialize in business law can be recommended for this. Choosing these makes sure you have the best possible chance of representing yourself well when you go the legal route. Depending on the damages involved, this could be a necessity.
Since choosing the right attorney is a crucial decision, you can consult a legal search firm – such as Wegman Partners – that can choose the right one for you. These law firms have an advantage due to their extensive network and expertise matching people with the right legal professionals. They can also help you make significant decisions, like aiding you in pursuing the appropriate course of action.
There’s a decent chance you don’t know what to do when a breach of contract happens. With how rare this is, that’s understandable. It doesn’t mean you shouldn’t be prepared for it if it happens. Following specific steps is vital to rectifying the situation.
Considering the damages involved, talking to the other party, and considering contacting an attorney will all be parts of this. While it’ll still be a frustrating experience, you shouldn’t have a problem getting through it.
Once again, consult with a licensed attorney regarding all legal issues.
Ken Boyd
Author: Cost Accounting for Dummies, Accounting All-In-One for Dummies, The CPA Exam for Dummies and 1,001 Accounting Questions for Dummies
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