The government’s COVID-19 shelter-in-place orders have placed unusual strains on contractual relationships. Employment, construction, landlord-tenant, and other contracts have been impacted, affecting most of our nation’s population. While unusual, such widespread, wholesale, strains on contractual relationships are not unprecedented. The law has dealt with these types of strains before, such as during times of war […]
Disputes Among Business Partners
Like all relationships, relations between business partners can become strained, at times to the point of breaking. Disputes can and do arise for a variety of reasons, from lack of communication to outright fraud. Typical claims that are raised in partnership disputes include actions for accounting, breach of contract, negligence, fraud, and breach of fiduciary […]
Can a defendant be insured for contract breaches?
Insurance policies do not provide any coverage (either defense or indemnity) for contract breaches. Rather, most liability insurance policies provide coverage for personal injury and/or property damage claims. Some insurance policies provide coverage for “professional negligence” and/or “errors and omissions.” Depending upon the circumstances of the case, the insurance policy involved, and the allegations of […]
Mitigation of damages in a breach of contract case
When a breach of contract occurs, the party not in breach is required to mitigate (i.e., to minimize) his or her damages by whatever means are reasonably available. A failure to mitigate damages will result in a loss of the right to recover the amount that should have been mitigated. Let’s say, for example, a […]
Remedies for breach of contract: legal, equitable, injunction and rescission
A “remedy” is the relief a Court may grant upon finding that a wrong has been committed. Remedies for breach of contract fall into two main classifications: “legal” remedies (i.e., the right to be awarded monetary damages) and“equitable” remedies (i.e., the right to some relief from the Court other than damages). Legal remedies With regard to […]
The Art and Science of Litigation:/Common Challenges
Clients involved in contested matters come to attorneys for guidance regarding the litigation process. Oftentimes, clients on opposite sides of a dispute believe 100% in the justice of their cause, yet, in the usual case only one of the sides will prevails in the litigation. Contract litigation attorneys are schooled in the art of risk […]
Amending Contracts
Written contracts can generally be modified only by another signed writing or by an “executed” oral agreement (i.e., an oral agreement actually performed). Oral discussions about modifying a written contract which are not executed (performed) will not change the contract terms. At times, the parties will present to the Court a series of emails to […]
Statute of limitations for breach of contract disputes
Statutes of limitation are deadlines imposed by law regarding breach of contract disputes. They define the date by which a legal action must be filed or be barred for untimeliness. In the case of a written contract, the statute of limitations is 4 years from the date of breach. In the case of an oral […]
Resolving litigation through settlement agreements
Courts favor settlement agreements because they bring litigation to a close and allow the parties and the Court to go onto other matters. Professionally prepared settlement agreements will normally include a covenant all disputes – whether known or unknown – are being settled, and that the parties agree to waive the protections of Civil Code […]
Revised Limited Partnership Act: a law that addresses the problem of incomplete or informal contracts.
It is not unusual to find that the written contract(s) between business partners do not speak to the precise issue that has arisen. Such gaps in contract language may be filled in by law. California’s Revised Uniform Partnership Act (“RUPA”), for example, provides that “To the extent the partnership agreement does not otherwise provide, this […]