Various entities enter into contracts in the state of Georgia for a variety of reasons. A professional athlete, for example, may sign a contract to play for a sports team. A homeowner may sign an agreement with a construction business to add a new addition to a home. One party assumes that the other party will uphold the contract, but unfortunately, this is not always the case.
When one party violates the agreement, a breach of contract occurs. The injured party might seek a legal remedy, usually in the form of a lawsuit. In filing a lawsuit, the plaintiff may wish to recover money lost from the breach. For example, someone who signed an employment contract for $150,000 and only received $75,000 could sue for the remaining $75,000. Other incidents with breach of contract may lead to a lawsuit where compensation focuses on a loss of business.
Punitive damages may even be possible when a breach of contract occurs. Punitive damages go beyond compensation and address punishment. For example, someone owed $10,000 due to a breach may see an award of the $10,000 and another $10,000 in punitive damages.
Concerns may exist about what party breached the contract first. All the parties in a contract may have stipulated duties. One party could sue to claim a breach based non-performance of services. The other party may claim that nonpayment necessitated the non-performance. In short, both parties would claim a breach in this example. It may take extensive civil litigation to straighten things out.
When one party wishes to escape a contract, an attorney might search for a legitimate breach. That is one example of how an attorney may assist in breach of contract cases. Seeking a settlement for nonpayment of funds might be a more typical example. An attorney may review a contract to determine if it was legitimate and legal in the first place. He or she may also be able to defend someone against inaccurate claims of breaches.