Your rights as an individual with a broken contract

When you complete a contract with another person or with a company, you expect the other party will fulfill their obligation to you.

Whether you hired someone to rebuild your back porch who took payment and never did the work or you need a contract to purchase something valuable, only to have the seller swap out items for something less valuable, you may suffer financial losses because of someone else’s breach of contract. How do you handle a broken contract as an individual?

Let the other party know they are not in compliance

The first step toward taking action as an individual with a violated contract will typically involve sending a formal letter, likely drafted by your lawyer, about the violation of the contract and how you would like the other party to resolve.

If you had clauses in your contract that addressed this scenario, you might reference those terms. Otherwise, you might suggest ways that the other party can correct their mistake and fulfill their obligations.

Go to court to seek compensation or assistance

Depending on the circumstances and the nature of the breach of the contract, you may have multiple options regarding how you legally address the issue, although civil litigation will probably be necessary.

In some cases, the courts may compel the other party to fulfill their promised rule, whether it is to complete work on your property or to provide you with a specific item. Other times, you may need to ask for compensation because of the financial losses you occurred because of the breach.

Discussing the situation with your lawyer and reviewing the contract can give you an idea of the best approach for your situation.