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Las Vegas Contract Dispute Lawyer

A Guide to Contract Disputes in Business

As a business owner, you are likely familiar with contracts. Used to create an obligation between two or more parties to fulfill a duty, contracts are legally binding. A valid and legally enforceable contract defines all pertinent details of the agreement, including:

  • Identification of every party involved in the contract
  • Responsibilities and rights of every party involved in the contract
  • Evidence that the other party agrees with all the terms of the contract
  • Considerations given or obtained in the contract
  • Conditions related to the termination of the contract

If any of the parties involved in the contract fail to uphold the terms of the agreement, a contract dispute may arise. Contract disputes can cause turmoil and economic harm to a business, showing how important it is to handle a breach of contract as deftly and skillfully as possible.

When Is a Contract Breached?

A contract is breached when a party involved in the agreement violates the terms of the contract. This can be as minor as a late payment and as serious as a failure to deliver a key business asset. Breaches can occur in both written contracts and oral contracts, and generally fall into one of these categories:

  • Minor breach: failure to uphold a specific facet of the contract, even though the product or service was ultimately delivered.
  • Material breach: occurs when something entirely different from the agreed upon product or service is delivered.
  • Anticipatory breach: when one party simply refuses to uphold their end of the contract.
  • Actual breach: when a party states in advance that they will not be upholding their end of the contract.

Types of Contract Disputes

As experienced and knowledgeable contract dispute lawyers, we have represented clients in a range of breach of contract issues. Following are some of the most common types of contract disputes that our clients have entrusted us to negotiate and litigate on their behalf:

  • Partnership Disputes
  • Shareholder Disputes
  • Commercial Leases
  • Non-Disclosure Agreements
  • Sale of Goods
  • Consumer Contracts
  • General Material Breach
  • Warranty Violations

Overview of the Contract Dispute Case Process

When contract disputes arise, it is often in all parties’ best interest to resolve the issue as swiftly and efficiently as possible. While the contract dispute case process varies depending on the unique circumstances of the breach, resolving a contract dispute typically follows this blueprint:

  • Review the terms of the contract to understand the severity of the breach, the parties’ entitlements, and the pertinent laws governing the contract. What is the jurisdiction in which the contract was written? Is there a clause specifying how disputes are handled? If the contract was not written, is there evidence of correspondence detailing the terms of the agreement?
  • Consider alternative options to litigation, such as mediation or arbitration. According to Nevada’s Rules Governing Alternative Dispute Resolution, civil matters such as contract disputes can be handled outside of court to obtain a prompt and equitable resolution of the issue. In some cases, the contract will contain a provision dictating how disputes are resolved. If not, the issue may be settled through negotiation, mediation, or arbitration.
  • Begin litigation to settle the matter and enforce the contract in court. If alternative dispute resolution does not succeed, or if the issue is exceedingly complex, litigation may be necessary. As litigation involves a court trial, the resulting judgment is binding and enforceable. Fortunately, Hone Law’s contract dispute lawyers have vast experience in navigating contract litigation and have successfully represented a range of clients in all levels of courts.

Potential Recovery in Contract Disputes

There are various potential remedies available in contract disputes depending on the terms of the contract, the nature of the breach, and the unique circumstances of the case. Some recovery options that we have secured for our clients include:

  • Compensatory Damages. One of the most common types of recovery in a contract dispute case, compensatory damages aim to restore the affected party to the position they would have been in if the contract was not breached.
  • Punitive Damages. Used to “punish” the party responsible for the breach of contract. These damages go above and beyond compensatory damages and are used in situations of exceptional negligence.
  • Nominal Damages. While typically unsubstantial, nominal damages recognize that a breach of contract occurred, but no harm can be calculated.
  • Liquidated Damages. A specified, predetermined amount of money that is used to compensate the affected party when damages are difficult to calculate. These damages are typically awarded in real estate purchase agreements and construction contracts, for instance.

How A Contract Dispute Lawyer at Hone Law Can Assist You

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As a premier business litigation law firm, Hone Law is dedicated to upholding the business interests of our clients and ensuring the long-term success of their endeavors. After spending decades navigating contract disputes, negotiating the terms of complex agreements, and litigating multi-faceted busin

ess issues, our team of contract dispute lawyers understand how to most effectively approach your case. We will review your situation holistically, assessing the right strategy from different perspectives until we identify a solution that works for you and your business. To learn more about how we can assist you, consider contacting us at (702) 608-3720 today.

FAQ

What does my company need to prove a claim for a breach of contract?

Breach of contract is one of the most common disputes in the business realm. A contract, at its core, is a binding agreement between parties, and when one party fails to fulfill its obligations, the other can seek legal remedies. To prove a claim for breach of contract, your company must first prove that a valid and enforceable contract existed between the parties. This can be a written agreement, an oral agreement, or even an implied contract based on the parties’ behavior. Typically, a written agreement, signed by both entities, provides the most robust and compelling evidence.

Additionally, your company should demonstrate through evidence that it either performed its obligations under the contract or had a legitimate reason for not doing so. Your company should also show that the other party failed to fulfill their obligations set forth in the contract. This could be a failure to deliver goods, provide a service, make payment, or any other obligation specified in the agreement.

Finally, your company should provide evidence that it suffered damages or losses due to the other party’s breach. This might involve showcasing financial losses, lost opportunities, or other tangible setbacks directly linked to the breach.

Given the potential intricacies of contractual terms and the varying nature of agreements, it’s highly recommended to consult the experienced business attorneys at Hone Law when pursuing a breach of contract claim. Our experienced legal team can assist in thoroughly evaluating the contract, gathering requisite evidence, and crafting a compelling legal argument in your company’s favor.

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What does my company need to prove a claim for breach of the covenant of good faith and fair dealing?

Every contract, whether explicitly stated or not, carries an implied covenant of good faith and fair dealing. This means that all parties to the contract must act honestly and not undermine the other party’s ability to enjoy the benefits of the agreement. To prove a breach of this covenant in the context of a business dispute, your company typically needs to first show that a valid and enforceable contract existed between the involved parties, whether it was written, oral, or implied.

Next, your company needs to show that the opposing party had an obligation to act in good faith and with fair dealing, which arises from the contract’s existence. This is a universally recognized obligation, even if not overtly stated within the contract’s terms.

The next step will be to present evidence that the other party engaged in conduct that undermines or frustrates your company’s contractual rights or benefits. Such conduct might not explicitly violate a contract’s terms but can manifest in misrepresentations, withholding critical information, or other actions that subvert the contract’s spirit.

Finally, you will need to showcase that the breach directly led to damages for your company. This could be monetary losses, reputational harm, or other detrimental impacts that arose due to the other party’s failure to uphold the covenant of good faith and fair dealing.

It’s essential to prove that the party’s actions weren’t justifiably based on the contract’s terms or based on any agreed-upon understandings. Successfully arguing a breach of the covenant of good faith and fair dealing can be nuanced, as it often hinges on the subjective intentions and actions of the involved parties. Given the complexity of such claims, collaborating with an experienced attorney is an important step to consider. The legal team at Hone Law can guide your company in gathering compelling evidence, interpreting contractual implications, and robustly presenting your case.

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Helpful Links

Business Litigation How Can I Prove Breach of Contract? What A Las Vegas Attorney Can Do To Take Legal Action Against Breach Of Contract Agreements