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Understanding breach of contract and your legal options

After years of planning and saving capital, you were finally able to open your own home décor retail shop. Your grand opening is set for the end of the week, but you have a problem. Your supplier did not fill your order correctly. Instead of sending you the décor you ordered, they shipped you a truckload of kitchen appliances. There is no way to get your corrected order to the shop in time for the opening. Now, you have to cancel all the events you had planned and work another day for your opening. You will lose your deposits on the entertainment and caterer you had booked.

In a situation like this, where someone you contracted with failed to deliver on that contract, you might have the option to pursue legal remedies based on breach of contract laws. If someone has violated the terms of a business contract and caused you to suffer a financial loss, speak with an Austin area attorney experienced with business litigation. To understand more about breach of contract laws, read further.

Breach of contract

When two parties agree to an exchange, such as money for goods, a contract exists. If one side of the contract fails to deliver on its obligations, then a breach of contract occurs. Depending on the terms of the contract, a breach can occur if a party does not deliver goods or perform a specified service on time. Other breaches include not carrying out the obligation according to the terms, such as delivering the wrong product, and not performing at all.

Post-breach actions

If a breach of contract occurs, you typically have two options. You can either enforce the terms of the agreement for the other party to perform the specified obligations, or you might be able to recover your financial losses. If the company or individual that caused the breach refuses to comply with the terms or provide any type of solution, you can file a lawsuit for damages. Before going to court, you and the supplier might be able to negotiate a settlement through a mediation process.


After a breach occurs, there are several legal remedies you can possibly recover. As mentioned above, you can enforce the completion of the contract (specific performance), or you can terminate the contract and demand compensation for any financial losses you suffered due to the breach.

If you have suffered a breach of contract, you might be able to take legal action to recover your losses. You should not be left in a financial bind because another business failed to uphold its end of a contract. An Austin area attorney can help with respect to recovering your losses.


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Austin, TX 78701

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