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Contract breach basics

| Oct 14, 2020 | Contracts |

Contracts most often take a lot of time and effort to negotiate. Both California parties to a contract include those provisions which are important to them and must be fulfilled in order to discharge it properly. Contracts are binding, which allows each party to rely on them and begin taking relevant steps to keep their end of the bargain. This is essential in construction law, as contractors and subcontractors rely on each party to follow through on their promises so the project can run smoothly. If one party does not keep its end of the bargain and breaches it, it might be possible to take the breaching party to court.

When is a contract breached?

Any time a party strays from the conditions and terms agreed to in the contract, it can be considered a breach of the contract. For example, if someone is supposed to be paid by a particular date, then that term has been violated and legal consequences can follow.

What happens if a contract is breached?

Contracts usually include the legal consequences of violating a contractual provision. If that is the case, then parties must follow the procedure laid out in the agreement. If not, then parties can either mutually agree as to what should happen, resulting in a new contract, or they can proceed to adjudication.

Contract breaches

A breach can be either minor or material. A minor one is when a service is not completed by the date it was supposed to be done. A material one is where there has been a deviation from the contract itself. For example, a minor breach may be one where a tailor delivers an altered garment one day whereas a material one may be where someone delivers gardening brochures instead of automobile ones.

When a wronged party is trying to determine what steps they should take after their construction contract has been breached, it can help to consult an experienced construction law attorney. He or she might be able to assess the validity of the contract in question and demonstrate reasons for the breach.