By Loren R. Ungar, Senior Attorney, Rose Law Group Litigation Department
We have all been the victim of a broken promise at some point in our lives. Sometimes there are no ill intentions and other times there might be. It is important to know your rights no matter which side of the issue you are on – the promisee or promisor.
Generally, a contract is a legally enforceable agreement between two or more parties for the doing or not doing of something specified, usually the purchase of an item or for services rendered. If a party breaks a promise, the other party may be able to sue for breach of contract. When a party breaches a contract, the other party may be able to sue if they can prove there was a contract in the first place that was mutually agreed upon. To prove the existence of an enforceable contract, a party must establish three basic elements. First, there must have been an offer, or intention to enter into the contract by the parties. Next, there needs to be acceptance of all of the contract’s essential terms by the parties. Finally, the contract must be supported by consideration, the giving or receiving of something for value, usually a monetary figure.
A lawsuit is warranted if the non-breaching party has been harmed in some way through the loss of the benefit of the contract. This is referred to as damages. Damages cover money or the opportunity lost as a result of the harm caused by the breaching party. In Arizona, a non-breaching party can also potentially recover their attorney’s fees as part of their damages in a breach of contract lawsuit.
With the help of a qualified contract attorney, you can decide if a lawsuit due to a breach of contract is in your best interests. On the other hand, if you know you need to breach a contract or are served with a lawsuit due to breaching a contract, it is important to know what to expect and what your rights are. In either situation, it will be important to have an experienced contract lawyer guide you through the entire process so you know what your legal rights and obligations are. If you find yourself in a similar situation – either as the breaching or non-breaching party –consulting with an experienced contract attorney will allow you to make an informed, educated decision, which can save you a lot of time, money and stress.
To further discuss breach of contract or any litigation matter, Loren Ungar can be reached at (480) 240-5650 or lungar@roselawgroup.com
