Breach of Contract Attorney

Contracts establish terms and conditions, set expectations, and protect the parties involved. Unfortunately, contractual disputes occur when one party fails to uphold their part of the agreement. Ledingham Law can help you navigate the complex legal issues that arise when contract terms are breached.

Whether you are the non-breaching party or you are being accused of breaching a contract, our team is here to provide you with the best possible representation. Contact Ledingham Law at (240)673-6869 to protect your interests and seek the best possible outcome for your case.

What is a Breach of Contract in Maryland?

A breach of contract occurs when one person in a contractual agreement does not fulfill their obligations without a legally valid excuse.

To prove a contract breach, the Plaintiff must prove the four elements:

  • A legally binding contract exists
  • The non-breaching party performed its obligations
  • The breaching party failed to perform its obligations
  • The non-breaching party suffered some harm or loss

Businesses should approach contracts with caution, ensuring that all terms are clearly outlined and understood by both parties. In the event of a breach, swift action must be taken to address the situation and prevent further damage.

Types of Contract Breaches

There are different types of contract breaches that can occur in a contract, including anticipatory breach, material breach, and immaterial breach.

Material Breach

A material breach, or “actual breach,” is a breach that substantially defeats the purpose of the contract and goes to the heart of the contract. This is the most serious type of breach. The breach is generally willful and the result of bad faith rather than simple negligence or circumstances.

The two most common examples of a material breach are:

  • Failure to pay: The party in breach refuses to pay after the innocent party completes substantial performance.
  • Failure to deliver: The injured party refuses to deliver the goods after payment.

Immaterial Breach

An immaterial or “minor breach” does not significantly affect the contract’s ultimate fulfillment. This partial breach generally does not allow the non-breaching party to terminate the contract.

A common example is late deliveries within a reasonable time. Although a delivery day might be an inconvenience, it does not terminate the binding agreement. These minor breaches generally do not result in a breach-of-contract lawsuit.

Anticipatory Breach

An anticipatory breach occurs when one party informs the injured party that it does not intend to follow through with the contractual terms. For example, On June 1, one party tells the other that they will not deliver the wedding cake on August 1, or ever.

Although the breach will not occur until August 1, the aggrieved party can generally bring a breach of contract claim immediately for a fundamental breach of contract.

Common Types of Contract Disputes

Contract disputes can arise in various situations, leading to conflicts between parties. Some common types of contract disputes include:

  • Services: Service contracts encompass the responsibilities of the service provider and the payment schedule. Disputes can arise from quality issues, nonpayment, and delays.
  • Buy-Sell Agreement: A buy-sell agreement is a legal agreement that provides for the sale of a business interest. Disputes often arise during the allocation of profits and deciding who will control the business.
  • Employment: Employment contract disputes involve an employee who was terminated early for improper reasons or is owed money. Additionally, non-competition provisions can lead to a dispute.
  • Real Estate: During a real estate transaction, a buyer and seller agree to certain conditions toward proceeding with the deal. When one side pulls out of the deal, the aggrieved party generally has the option to sue to collect damages.

Consequences of Breach

If you believe that a breach of contract has occurred, it is important to seek legal remedies to protect your interests. Depending on the nature of the breach and the terms outlined in the contract, there are various remedies for breach that may be available to you, including:

  • Damages: The non-breaching party may be entitled to damages for breach to compensate for any losses suffered as a result of the breach.
    • Compensatory damages are direct damages intended to “make the plaintiff whole”. They may include consequential damages, which provide monetary damages for any indirect financial losses due to the breach.
    • Punitive damages are awarded separately from the actual damages in relation to the breach of contract. They are awarded only when the breaching party acted with malicious intent or gross negligence.
  • Specific Performance: In some cases, a court may order the breaching party to fulfill their obligations as outlined in the contract.
  • Rescission: Rescission involves canceling the contract and returning both parties to their pre-contractual positions.
  • Injunctive Relief: Injunctive relief may be granted by a court to prevent the breaching party from taking certain actions that would further harm the non-breaching party.
  • Restitution The goal is to force the breaching party to forfeit their ill-gotten gains.
  • Attorney’s Fee and Costs: Depending on the breach of contract case, Ledingham Law may be able to recover the attorney fees spent on litigation.
What our clients say about us

Client Testimonials

Get in Touch with a Business Contract Lawyer

Ledingham Law Breach of Contract Attorneys

At Ledingham Law, our legal team has the experience and expertise to assess your case and determine the best course of action to protect your interests. We will work diligently to negotiate a resolution or, if necessary, pursue legal action to enforce the terms of the contract and seek appropriate remedies on your behalf.

If you are facing a breach of contract issue or need assistance with reviewing and understanding your contractual obligations, contact our breach of contract lawyers at (240)673-6869 today. Our law firm is dedicated to providing personalized and effective legal representation to help you navigate through complex contract disputes.