If a person or company breaches an agreement reached with another person or company, it may be possible for the victim to file a lawsuit. While the thought of going to court is not a pleasant one, there are several reasons why it might be a good idea to litigate a breach of contract case. For instance, bringing a case before a California judge may make it easier for a person to obtain financial compensation.
Financial compensation could include restitution for any actual or other losses incurred because of the breach of contract. Moral damages might also be awarded by a judge or jury in a breach of contract lawsuit. These are intangible losses that a party incurs because of the actions of another party. In some cases, it may be possible to obtain an order compelling the party that breached the contract to fulfill its obligations.
The type of damages that a person or company is entitled to depend on whether the breach was material or immaterial. Material breaches tend to be more serious and generally allow a victim to pursue significant financial or other damages. For instance, if a party to a written contract engages in fraud, that would likely be considered to be a material breach of a contract.
Those who are involved in contract disputes may want to hire an attorney to help with their cases. Legal counsel may review a contract to determine if a breach occurred and if it is material or immaterial. In some cases, the language of the deal itself will determine if disputes will be settled through arbitration, mitigation or litigation. A legal professional may represent a person or company regardless of the process used to resolve a breach of contract dispute.