Breach of contract is a legal cause of action for failing to honor the terms of an agreement. When this happens, the non-breaching party may file a civil suit for breach of contract. When a party is sued for breach of contract, there are a number of defenses available to it, including:
- Alternative payment – A contract will not be enforced when the plaintiff previously accepted an alternative payment from the other party that discharged the original obligation.
- Mistaken belief – A contract may be unenforceable when both parties failed to understand its terms.
- Replacement of original contract – When agreement contract is replaced by a new contract, the replaced agreement may be unenforceable.
- Approval – If the plaintiff approved the defendant’s action or inaction about the contract, then the defendant may not be liable for breaching the contract.
- Oral contract – While some types of contracts may be oral or written, other types of contracts must be in writing in order to be enforceable.
- Essential terms absent –If a contract is not sufficiently specific as to essential terms like pricing or duration, then it may be unenforceable.
- Fraud – If a party enters into a contract based on a misrepresentation of material facts by the other party, then the contract may be unenforceable.
- Statute of limitations– In Texas, there is a four-year statute of limitations for breach of contract actions. If a lawsuit is filed after the statute of limitations has expired, it will be dismissed by the court.
- Impossibility due to changed circumstances – If unforeseeable circumstances make it impossible for a party to comply with the terms of an agreement, that party may be excused for failing to comply with the contract..
Contract Litigation Attorneys
Ajamie LLP’s contract practice assists corporations and individuals in reviewing, negotiating, and creating effective contracts, and in bringing claims in court to enforce the terms of valid contracts and to seek remedies for their breach. The firm litigates contract disputes in domestic and foreign forums, including international arbitration. Our experienced contract attorneys have resolved controversies arising under the Uniform Commercial Code, the United Nations Convention on Contracts for the International Sale of Goods, and other laws governing United States and international commerce. Our Texas attorneys also provide cross-border representation in a variety of business litigation matters. Please contact our firm today for a consultation.