When it comes to contracts, what does it mean to breach one?

Massachusetts business owners tend to form relationships with vendors, suppliers and other businesses that help them thrive. Cementing those relationships often includes the use of contracts. Owners have more than likely heard about “breaches” of contracts, but may not quite understand what that means for them.

When one party to a contract fails to fulfill its obligations or otherwise violates the terms of the agreement, that party is said to have breached the contract. The allegedly offending party does not have to violate all of the provisions of a contract to be found liable for a breach of it. If a Massachusetts business owner believes another party failed to fulfill its end of the bargain, litigation may be appropriate. 

In addition to proof of damages, a valid claim for breach of contract includes several elements. First, it will be necessary to prove to the court that the contract between the parties is valid. Second, the plaintiff must show that he or she upheld his or her end of the contract. Third, it will be necessary to show the court that the other party violated the agreement. Finally, the other party must receive notice of the alleged breach because it may be rectified without any need to go to court.

Breaches come in many shapes and sizes just as contracts do, so it might be a good idea for a business owner who believes the contract was violated to secure legal counsel first to review it and the underlying circumstances that led to any disagreement. After a thorough review, the party who believes the contract was violated may want to gain an understanding of his or her rights and legal options. It may not be necessary to proceed directly to litigation if the other party is willing to attempt to find a mutually satisfactory resolution to the problem.