What is a contract?
A contract is an oral or written agreement between two or more people in which all the parties involved benefit in some way. In a perfect world, the parties to the contract are able to carry out their obligations under the contract and everyone walks away happy. However, as we know, sometimes things go awry. The parties are not happy with the arrangement or perhaps circumstances change.
Typical Business Contracts
There are many different types of contracts. The Chapar Firm has represented clients with regard to breaches of Lease Agreements, Employment Contracts, No-Compete Agreements, Purchase Agreements, Promissory Notes, Shareholder’s Agreements, and Partnership Agreements.
What is a Breach of Contract?
A breach of contract is a legal wrong that occurs when one party to a contract is unable or refuses to carry out their obligations under the contract. Types of breaches include when a party fails to perform timely, fails to perform in accordance with the terms of the contract, or fails to perform at all. Many contracts have a notice provision in which the wronged party must provide notice to the breaching party of the breach. Upon receipt of the notice, the breaching party would have a certain amount of time (as defined in the contract) to cure the breach. But, what happens when the breaching party fails to cure the breach? First and foremost, it is crucial for the non-breaching party to continue to perform its side of the bargain. Otherwise a court could determine that the
Should you Sue?
When a breach of contract occurs, the wronged party may wish to enforce the contract or recover financial harm caused by the breach. In Georgia, most written contracts have a six year statute of limitations. Oral contracts have a four year period from the date of the breach to bring a claim. Some contracts require disputes to be resolved through mediation. For disputes that are $15,000 or less, small claims court (Magistrate court) is an option.
For larger disputes, the Chapar Firm, LLC would fully assess the situation, including all attempts at a resolution. We review the contract at issue and determine whether a lawsuit is a viable option. Lawsuits can be very expensive and not all breach of contracts should be pursued in a court. Sometimes the breaching party has no resources and a judgment would be futile. Sometimes the value of harm may be less than the cost to pursue a lawsuit. Generally, when this is the case, the Chapar Firm may attempt to resolve the matter informally, through negotiations.
Before deciding on how to resolve your business dispute, the Chapar Firm, LLC recommends that you first consult with an experienced business attorney to discuss your best options. The Chapar FIrm, LLC will give you the pros and cons of filing a breach of contract suit and provide you with other options that might be more cost effective. If a lawsuit is a viable option, Mr. Chapar is an experienced contract attorney who strongly advocates for his clients, bringing results.
What if You are Sued?
If you have been unable to perform your end of a bargain and you are being sued, we can help. If, for example, you have an equipment rental agreement and you were unable to pay the rent and the lessor came and got the equipment, you may have a reasonable defense. If you have a defense, we will find it. If you do not have a defense, we will try to bring the matter to a soft landing through reasonable negotiations.
Call The Chapar Firm today to help you to resolve any contract or business disputes. (770) 483-4115