How to recover from a breach of contract

Anyone who has bought, sold or leased a property knows the importance of having a contract. Contracts are legal document that affirm important choices for the purchasers and the sellers. They legitimize the event for all parties and also for the state.

Although it is not common, contracts may not be realized by either party entering into an agreement. Any violation — or “breach” in legal terms — has legal consequences, and the liable party may end up owing a large amount of money or work to the other party.

If a party believes they have been financially or materially harmed by a breach, they may sue to have the contract enforced or any investment or expenditure recovered. Since a lawsuit is a common repercussion when contracts fall through, parties who have engaged in breached contracts may wish to consult with an attorney.

Suits for lower than a certain threshold in damages — usually $5,000 in Florida — can often be settled in small claims court. Cases that involve higher amounts or types of investments in a contractual obligation often require more complex suits to resolve.

The solutions to resolve a breach of contract usually include damages when the harm can be converted to a dollar amount paid by the defendant. Specific performance can also be mandated by the court to fulfill the contract’s original terms.

A plaintiff may also cancel a contract and claim restitution if he or she conveyed payment or benefits to the breaching party. An attorney may help clarify these options.

Source: FindLaw, “Breach of Contract and Lawsuits,” accessed Nov. 07, 2017