Breach of Contract Disputes
Breach of Contract vs. Fraud
A breach of contract case is not the same as a case of fraud. In fact, they are very different. Breach of contract is not always accompanied by fraud. In court, a breach of contract by an offending party is not always viewed as a fraud at the inception of the contract. Fraud is essentially a lie that misrepresents one party to another.
Parties in litigation over contract breaches should consider the long-term cost and aggravation of a lawsuit. If these considerations are taken into account, attorneys can usually get the parties to the negotiating table early on in the litigation process. However, depending on the issues at hand, aggressive litigation may be the only way to resolve breach of contract disputes favorably.
The laws surrounding business disputes depend mainly on the specific agreements between the parties, to the extent that it complies with the law. Numerous other laws exist that govern business relationships, as well. In a “business divorce,” the court is generally reluctant to dissolve a profitable business. However, courts understand that some parties cannot remain “married” in the business forever. Attorneys can help to bring the opposing parties to the negotiating table through an alternative dispute resolution system. Then, they can work out their differences or divide up the assets. Mediation or binding arbitration usually saves the parties involved tens of thousands of dollars in fees and forgoes a contentious litigation process.
Attorneys can also help a company reorganize of roles and responsibilities. If the parties involved agree that the business is profitable and should keep going, a restructure can take place. This includes restructuring the management of the operations, appropriation of funds, personnel, and more. In some circumstances, restructuring resolves differences. Litigation is typically the last resort. However, there are options to prevent it from being a long, drawn-out, and contentious process, and that’s where a knowledgeable and experienced attorney comes in handy.