Creating and signing a contract is the simplest way to cement an agreement or terms that you share with another individual or business. Your company may execute a broad range of contracts, ranging from employment contracts with your staff members to supplier contracts. When one party attempts to violate the terms of your contract, however, your business may have to deal with serious financial or practical repercussions.
Potential issues related to breach of contract could include the leaking of your trade secrets to a third party, a failure to perform necessary services or provide goods that your business depends on. You may even have a former employee who tries to open up a business just like yours while attempting to poach your current client list. When these things happen, you may need to take legal action to protect your company from the consequences of an egregious breach of contract.
How can you legally enforce your contract?
There are several steps involved in the enforcement of a business contract. The first is usually a review of the contract itself to ensure that it is legal and enforceable. If you included illegal or questionable terms in the contract, the courts may not uphold it. Provided that the contract itself is valid, it is typically best to attempt to resolve the issue through written communication at least once prior to going to court.
Having your attorney draft a letter regarding the breach of contract and the way you would like the other party to resolve it is one way to approach the issue. If the other party still won’t fulfill their obligations under the contract or cease the actions that constitute a breach of your contract, you may have no choice at that point but to ask the courts to intervene and enforce the terms of the contract for you. An experienced attorney can help you understand your options.