Ask a Lawyer: 3 Tips for Resolving a Breach of Contract Dispute in New York

A breach of contract occurs when a valid contract exists, one party fails to meet the contract terms, and another party suffers damages because of that lapse. In this situation, you need the guidance of a knowledgeable breach of contract attorney in Glen Cove, NY.

1. Review Contract Terms Carefully

Your contract may include a clause about dispute resolution or specify remedies for a contract breach. For example, it could stipulate a late fee for missed payments or an extra charge for late deliverables. New York law has a six-year statute of limitations for contract breach lawsuits, but contract language can further limit the time to sue if both parties agree.

Some contracts require the parties to use alternative methods of dispute resolution such as mediation or arbitration. Mediation means you work with the other party to reach a resolution with the help of a neutral third party. With arbitration, both sides present their cases before an administrative law judge, who makes a legally binding decision. You should have legal representation during either a mediation or arbitration session.

2. Calculate Related Damages

Total the monetary amount lost as a result of the contract breach. Types of damages may include the cost of production delays, missed payments, and other related expenses. Gather evidence to support your damages in the form of receipts, invoices, and correspondence. While you can recover costs caused by the breach, courts rarely add punitive damages in this situation.

Judges typically order compensatory damages in breach of contract lawsuits, designed to bring you back to the financial position you held before the contract breach. The court may also require specific performance, which means they legally have to perform or cease designated actions. You can also decide to cancel the contract and have the court rescind its terms if a material breach has occurred.

3. Prepare Your Evidence

You will need to show the court that you have a valid, enforceable contract. A valid contract must have consideration, which means both parties exchange something of value. It’s also critical to prove that you fulfilled your part of the contract as agreed. The defendant may argue that the contract is invalid because you misrepresented key facts, concealed information, or convinced them to sign under duress.

An attorney can help you develop a legal strategy to refute these claims. A successful case also requires you to prove that you experienced damages from the contract breach. The breach must impact a material or significant part of the contract rather than a minor concern that doesn’t dramatically affect the end result.

An experienced attorney can guide you through the dispute resolution process when you experience damages caused by a contract breach. You have six years from the date of the breach to file this type of lawsuit, so it may not be too late to financially recover from an unfortunate situation. Contact Chiariello & Chiariello in Glen Cove, NY to schedule a consultation today.

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