A breach of contract occurs when one or both parties fail to fulfill the agreed-upon terms and conditions of the contract. This breach can be total or partial and may include any violation of the contract terms, such as failure to meet deadlines, non-payment, delivery of defective goods, or failure to perform agreed-upon obligations.

If a breach of contract occurs, the affected party can take legal action to enforce the agreement. These actions may include resolving the issue amicably directly with the other party, providing written notification of the breach, mediation, filing a lawsuit in court, among others.

“It’s important to note that before taking legal action, the contract should be reviewed and sufficient evidence demonstrating the breach should be gathered,” advises our attorney, Chrystal Reyes.

Our expert from the Conflict Resolution Department also emphasizes the importance of seeking legal counsel to ensure proper procedures are followed and to understand the potential consequences of taking legal action.

Reyes outlines the general steps to follow when a contract is breached:

“First, you can attempt to resolve the issue amicably by contacting the other party and informing them that they have not complied with the contract. Sometimes, this is enough to resolve the problem without resorting to legal measures.”

If the breach persists, our specialist recommends sending a formal letter notifying the other party of their breach and demanding that they fulfill their obligations.

“If direct negotiations are not effective, mediation can be considered, where a neutral third party helps the parties reach an agreement. Mediation is a more economical and less confrontational alternative to going to court,” explains our attorney.

In case the previous options fail, Reyes indicates that a lawsuit can be filed in court outlining the reasons why the other party must comply with the contract.

“The judge will determine if the contract has been breached and may order the other party to comply. If the other party still does not comply with the contract, additional measures such as asset seizure or fines can be taken.”

In the future, Chrystal urges readers to ensure they fully understand the terms of the contract before signing it and to make sure the other party also understands: “Set clear and realistic deadlines, and maintain clear and open communication throughout the process.”

Finally, our expert notes that every situation is unique and that these steps may vary depending on the specific circumstances of the case. The best course of action is to seek the guidance of a litigation, labor, or corporate attorney to assist you through each step of the process.