Breach of Contract Claims: Common Dispute Patterns

Contract disputes follow predictable patterns. Understanding common scenarios helps you prevent problems and respond effectively when they occur.

Common Patterns

• Non-payment disputes
• Scope of work disagreements
• Quality/specification issues
• Timing and delivery failures
• Confidentiality breaches

Material vs. Minor Breach

Not every mistake allows you to walk away. A "minor breach" (e.g., payment is 2 days late) allows you to sue for damages, but you still have to perform your side. A "material breach" (e.g., they didn't deliver the product at all) defeats the purpose of the contract and excuses you from performance. Misidentifying a breach as "material" and stopping your own work can actually make YOU the one in breach.

The Duty to Mitigate

If the other party breaks the contract, you cannot just sit back and let damages pile up. You have a legal "Duty to Mitigate." If a tenant breaks a lease, the landlord must try to find a new tenant. They cannot just leave it empty for a year and sue for 12 months' rent. If you don't mitigate, the court will reduce your award.

Liquidated Damages

Proving actual damages is hard. "You revealed my secret, and I lost... maybe $50k?"

The Fix: A Liquidated Damages clause sets a specific price on the breach (e.g., "Breach of confidentiality = $50,000"). Courts enforce these as long as they are a reasonable estimate of harm and not a "penalty." Calling it a "penalty" in the contract actually makes it void.

Can I sue for "Pain and Suffering"?

Generally, no. Contract law is about money. You get "Expectation Damages" (what you would have earned), not emotional damages.

Disclaimer: This article is for general information only and is not legal advice.