It’s always disappointing when someone doesn’t keep their word. When a breach of contract affects your business, however, it can be problematic (at best) or even financially devastating (at worst).
If someone failed to keep their agreement with your business in a material way, what are your options?
You can ask to cancel the contract
If you’re no longer interested in doing business, you may want to cancel the contract and ask for the restitution of any funds that you’ve already paid the other party. Generally speaking, you can do this whether the other party agrees or not, as long as they caused the breach.
You can ask for damages
Usually, your contract with the other party is the first place to look to determine what damages you can seek. It may address a potential breach. If so, it may specifically assign a certain amount of financial liability to the breaching party, and you can force them to pay up.
If not, you can ask the other party to pay what you’ve lost due to their failure. If they refuse, then you may have to consider litigation. However, it’s generally preferable for both sides to avoid that extra entanglement.
You can ask for specific performance
Money isn’t everything, and sometimes you cannot simply move on to a different vendor or business to get what you need. If the situation is unique, you ask the court to order the other party to fulfill their end of your agreement.
Most of the time, contract disputes can be resolved through negotiation, but it takes experience and skill to work out the specifics. Make sure that you have guidance as you proceed.
