Breach of contract: legal consequences and ways of protection

The contract is one of the main regulators of relations in the field of business, and therefore the proper implementation of its provisions is of crucial importance for the smooth operation of business entities. However, in practice, cases of violation of the terms of the contract often occur, which can lead to significant negative consequences for the parties.

Violation of the terms of the contract occurs when one of the parties does not fulfill or improperly fulfills its obligations under the contract.

This can be manifested in:

• delays in the fulfillment of obligations;
• supply of low-quality goods/services;
• non-payment of sums of money;
• or other forms of failure or improper performance of contractual obligations.

It is important to note that any violation of the terms of the contract is the basis for applying liability to the guilty party in accordance with the provisions of the law and/or the contract itself.

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Liability for breach of contract

The main types of responsibility are:

• compensation for damages;
• payment of penalties (fines, penalties);
• termination of the contract, etc.

To determine the violation and choose the appropriate method of protection of rights, it is important to establish the nature of the violation and the degree of its significance. A violation that caused damage to the other party, in connection with which it is deprived of what it was counting on when concluding the contract, is recognized as significant.

In the event of a significant breach of the contract, the injured party has the right to demand its termination and compensation for damages. At the same time, in the presence of an insignificant violation, the party cannot terminate the contract, but can demand the payment of a penalty and forced performance of obligations.

To prevent violations of the terms of the contract, it is necessary to carefully approach their conclusion, establish clear rights and obligations of the counterparties, provide for effective dispute settlement mechanisms, and apply appropriate protection measures in case of violations. No commercial transaction can be successful without observing the principles of contractual discipline.

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Lawyers "Prykhodko and Partners" protect your rights

Law firm "Prykhodko and Partners" can provide the following services to clients in connection with a breach of the terms of the contract:

1. Legal analysis of the contract and the circumstances of its violation. Our lawyers will study the text of the contract in detail, determine the nature and degree of violations, as well as their legal consequences.
2. Pre-trial settlement of the dispute. Preparation of requirements/claims to the violator, negotiations on peaceful settlement of the dispute and restoration of violated rights.
3. Representation of the client's interests in court. If it is impossible to resolve the dispute before the court, the lawyers of "Prykhodko and Partners" will prepare a statement of claim and represent the interests of the client in the court process with the aim of collecting damages, penalties, termination of the contract, etc.
4. Provision of evidence base. Collection and procedural processing of evidence of breach of contract for their further successful use.
5. Legal examination of the contract. In order to prevent similar violations in the future, lawyers can conduct an analysis of the contract and provide recommendations for making appropriate changes/additions.
6. Consulting on all issues related to breach of contract. The client will receive a qualified explanation of his rights and obligations, optimal ways of protection, risks and prospects for resolving the dispute.
7. Development of a strategy for the protection of interests and support at all stages of dispute settlement.

The law firm "Prykhodko and Partners" will be able to provide comprehensive legal support to the client - from the detection of contract violations to their legal resolution and restoration of violated rights. For consultation, please fill out the form below.