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Contract Law

A routine aspect of business is establishing a contract. While we believe most parties make agreements in good faith, there are times where a contract can go awry. Many times, a contract case can be solved between the two parties, or with a minimal level of mediation. However, breaches of contracts can escalate into the courts and sometimes a countersuit can be at stake. It is critical to get the expertise of legal advisers on your team to best resolve a contract dispute.

Breaches of Contracts

One common aspect or occurrence in business law is a breach of contract. In violation of a contract, one or both parties may want to have a deal implemented on their idea of acceptable terms and may attempt to recoup any financial hardship resulting from the potential breach of contract.

Another option for the parties, is to have a mediator advise on a contract dispute, or can consider a binding arbitration for a contract dispute.

If the parties cannot resolve their differences by themselves or through mediation, the next stage of the dispute would be a lawsuit. If the amount is small, typically under $10,000, this can be argued in small claims court.

Resolutions for Breach of Contract

If a person or business breaches a contract, the other party in the agreement is to be offered relief, or in legal terms, a remedy. Typically, the solutions for a breach of contract are:

  • Damages
  • Specific Performance
  • Restitution


Paying damages is the most common solution for a breach of contract. Types of damages include:

Compensatory damages: These are intended to offer compensation to the other party, the amount is to reflect losses they incurred as a result of the breach

Punitive damages: Punitive damages are payments that the breaching party has to offer, demonstrating an amount above and beyond the level that would compensate the non-breaching side. Punitive damages are intended to punish a negligent party for particularly harmful acts, but it is important to note punitive damages are not typical to a breach of contract.

Nominal damages: Nominal damages are provided when a breach of contract occurred, but a monetary loss from the non-breaching side does not have to be demonstrated.

Liquidated damages: These are exact damages that were previously noted by the parties in the contract ahead of time, should the contract be breached. Liquidated damages are assumed to be a reasonable amount, indicative of actual losses that resulted from the breach.

Specific Performance

Specific performance is defined as the breaching party's court-mandated performance of duty as laid out by the contract. Specific performance can be utilized as a solution for breach of contract if the losses from the breach are exceptionally unique and rare, and damages would not be an appropriate remedy for the non-breaching party.

Restitution and Cancellation

The non-breaching side of the dispute may opt to cancel the contract and instead sue for restitution. This can happen if the non-breaching party has offered some form of a benefit to the breaching party. Restitution in contract remedy determines that the non-breaching side has resumed its position prior to the breach. However, cancellation of the contract renders the contract null and void, and absolves all parties of any further obligation under the contract.

Contract Law Cases and You

We understand the particulars of business law and the difficulties of contract disputes. Ours is a personal touch with professional expertise. Our primary interest is in representing you the best way possible. Each case requires a unique and personalized approach in order to best represent the clientele. With our team at your side you can be confident of having legal representation that cares about and fights for you, to receive the best outcome and settlement possible.

Find out More

If you are facing a contract dispute rest assured that our attorneys can offer the legal assistance you require. Contact us for a consultation today, and let us discuss the options available to you in your ongoing or proposed contract law case.

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We serve clients throughout California including, but not limited to, those in the following localities: Los Angeles County including Calabasas, Downey, East Los Angeles, Glendale, Inglewood, Long Beach, Los Angeles, Norwalk, Santa Fe Springs, Torrance, Van Nuys, West Covina, and Whittier; Orange County including Anaheim, Costa Mesa, Irvine, Orange, and Santa Ana; Riverside County including Corona, Murrieta, Riverside, and Temecula; and San Bernardino County including Fontana, Ontario, Rancho Cucamonga, San Bernardino, and Victorville.

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