Contracts are written records of agreements between two parties. Instead of relying on a verbal agreement, businesses or professionals outline the specific terms of an arrangement in a written document.
Contracts help reduce communication issues and confusion about the terms of an agreement. They also help make business arrangements enforceable if either party breaches the agreement. A breach of contract issue in New Jersey might lead to civil litigation. Judges and juries deciding over contract dispute lawsuits have the authority to terminate contracts, enforce contractual arrangements or award one party damages due to a breach of contract.
How can a plaintiff expecting to pursue a lawsuit establish that a breach of contract occurred?
Documenting non-performance
Typically, contracts include specific requirements imposed on each party to an agreement. One party may need to render payment by a certain date, while the other may need to deliver goods or perform services. A breach of contract lawsuit is possible any time one party has evidence that another has not fulfilled the terms of an agreement.
Classifying the contract breach
Those initiating a breach of contract lawsuit typically need to bring very clear claims and support. They need to gather evidence that a breach occurred and also classify the breach of contract. There are four different types of contract breaches possible.
A material breach of contract involves a supplier delivering goods that differ from what a company purchased. Material breaches could also involve services that do not conform to contractual standards. An anticipatory breach of contract involves a scenario in which one party expects that the other may soon violate the agreement, often because they provide advance notice of an expected delay.
Requesting specific solutions
As previously mentioned, judges have the authority to terminate a contract, thereby ending the working relationship between those embroiled in the dispute. They also potentially have the authority to enforce the contract by ordering specific performance. A judge or jury could award a plaintiff financial damages for the economic impact that a breach of contract has had on one party. Typically, those pursuing a breach of contract case need evidence of the breach and also need to request a specific solution from the courts.
Properly preparing for a breach of contract lawsuit involves gathering evidence and reviewing the agreement between the parties with an attorney. Those who carefully prepare for contract litigation may be in a better position to obtain favorable results regardless of whether their case goes to trial or settles.