Breach of Contract Claims
Contracts are made between parties for a variety of goods, services, and employment. Sometimes parties to a contract no longer want to be bound to the terms contained within the agreement. Either the parties can mutually agree to part ways or a party can breach the contract. When a breach of contract occurs, the non-breaching party may have a claim for a legal remedy, such as monetary damages, restitution, or equitable remedies.
What Makes A Valid Contract?
A valid contract usually contains three elements: (1) an offer, (2) acceptance, and (3) consideration.
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Offer. Under Arizona law, an offer for a contract is a statement that offers something for sale, employment, barter, lease, trade, and more. Consideration can be verbal or written.
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Acceptance. Parties accept the terms of the contract either in writing, verbally (when allowed under law), or by performance.
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Consideration. The third element, consideration, is what is exchanged between parties to the contract. It is a critical component to any contract.
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Contracts can be verbal or in writing. However, some contracts must be written to be considered valid. The statutory code outlines the types of contracts that must be in writing on order to be valid such as employment contracts
What Is A Breach Of Contract?
Under Arizona law, a breach of contract occurs when one party fails to fulfil their obligations under the contract (in whole or in part) without a legal excuse. A breach of contract might occur when an employer doesn’t pay the wages in the contract or terminates the contract early (if the employment contract is for term length).
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The breach can be considered material, immaterial, or anticipatory depending on the type of damages the breaching party caused the non-breaching party. A material breach happens when the breaching party fails to perform a duty under the contract that the main purpose of the contract is unfulfilled. An immaterial breach occurs when the majority of the duties pursuant to the contract have been completed, but the remaining duties have not been performed.
If another party breaches a contract, what happens?
Depending on the severity and type of breach, the non-breaching party can seek legal remedies, money damages, or equitable relief. Certain legal remedies are awarded in specific situations. Regardless of the type of breach, the non-breaching party will need to establish a few facts.
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Prove that a valid contract existed between the parties
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Show that the contract was breached.
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Demonstrate how the other party was responsible for the breach.
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And that the other party’s breach caused damages.
We Protect Arizona Employees’ Rights
If the other party breached the contract, as the non-breaching party, contacting an attorney is a good way to get advice on how to proceed. However, Arizona has different statute of limitations for the breach depending on the contract. If you think you’ve been the victim of a contract breach, contact an attorney to find out what your options are.
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We offer one-on-one consultations with an experienced Arizona employment lawyer and specialized knowledge of federal, state and local laws. To schedule a consultation with an employment discrimination lawyer, contact our office today.