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Commercial Dispute Resolution

Business Contract Disputes

Chun Wong
Chun Wong
Partner
Claire Kitchen
Claire Kitchen
Partner
Michael Kilbane
Michael Kilbane
Partner
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Ruhul Ameen
Partner

Contract disputes happen daily and are something you may require legal advice around. As different forms of contracts govern our everyday lives, it’s likely that you’ll encounter a contract dispute at some point in your life or career. The circumstances range from an employment contract to purchases made over the internet and in shops.

As contracts govern every part of our lives it is common for disputes to arise between the parties. Disputes can arise where one party has not performed a part of the contract, or where one party has misrepresented part of a contract or their situation when entering into a contract.

How is a contract formed?

A contract is formed when one party makes an offer and the other party accepts that offer. There also has to be some form of payment (this doesn’t have to be monetary), known as consideration, that flows between the parties.

Some people assume that to have a contract this needs to be a written document for it to be legally binding. This is not always the case; a verbal contract can be equally as binding on both parties.

Common contract disputes involve:

  • Consumer disputes
  • Disputes over business contracts
  • Employment contracts
  • Disputes over contracts for the sale of land
  • Finance contracts

“THE SOLICITOR PROVIDED ME WITH AN EXCELLENT SERVICE, SHE COULDN’T HAVE DONE ANYTHING BETTER."

How can I resolve a contract dispute?

Resolutions for breach of contract are varied. If the breach is serious enough, the contract may be repudiated, which means that the situation will be viewed as if the contract had never been entered into. There are also situations where a contract can be terminated.

Even if a term of the contract has been breached, the clause breached may not be serious enough to warrant repudiation or termination. Clauses in contracts are often described as either a “Condition”, or a “Warranty”. Put simply, conditions are terms that are central to a contract. A breach of a condition may allow an innocent party to terminate a contract. Warranties are less crucial than a condition, and a contract may not be terminated if a warranty is breached.

The most common remedy in a contractual dispute is usually a payment of damages. Damages will usually be limited to a sum that puts the injured party back in the situation that s/he would have been in, had the breach not occurred. Damages for injury to feelings or stress are rarely awarded.

Contract disputes can be difficult to unravel, especially when a party has paid money for something that has not materialised. Whether you are defending or pursuing a claim for breach of contract, or wanting advice about specific clauses in a contact, our team of solicitors are there to assist and advise you.

Contact our specialist commercial dispute solicitors on
or request a call back.

Why choose Hodge Jones & Allen Solicitors?

Our team have a wide range of experience in a variety of sectors and industries. They will work closely with you to make sure you reach the correct outcome. Whether you are defending or pursuing a claim for a breach of contract, or wanting advice about specific clauses in a contract.

We will tailor our services to what is most beneficial for you and your business. Whether you are defending or pursuing a claim for a breach of contract, or wanting advice about specific clauses in a contract, our team of solicitors are there to assist and advise you.

Due to our team’s experience in disputing contracts, they are also able to assist in the drafting and preparation of a contract/agreement. Getting advice at the outset can be incredibly useful in avoiding problems later down the line, saving you the stresses, time and costs of a dispute.

"The advice I received was well reasoned and directed at achieving the best possible outcome. My lawyer was able to ease my concerns, set out the options, and constructively guide me through what ended up being a lengthy process. I felt I could trust my lawyer, and felt confident about the case. In the end, the result was a good one."

Featured Case

Successful negotiation between two businesses

We were instructed by a business (“A”) that had entered into a contract with another business (“B”) for designing an app, which included a considerable amount of intellectual property. Eventually, the relationship between the two parties broke down. B stated that A had breached the contract by not carrying out all the work. A negated this and said that B had demanded that A carry out extra works, for no extra charge. The complicating factor was how the intellectual property was dealt with after the contract was terminated. When the case came to us, both parties were deeply entrenched.

Outcome
The case was settled by negotiation without the need for proceedings.

Get in touch with our dispute resolution solicitors today for expert legal advice around contract disputes on
or request a call back.

Frequently asked questions

What is a contract?

A contract is a legally binding agreement between two or more parties to perform specific act(s).

What classes as a contract dispute?

A contract dispute happens when there is a disagreement about the terms and conditions of the contract.

Do I have to go to court to settle a contract dispute?

You do not have to go to court to resolve a dispute arising from a contract. You can also opt for mediation, this is when a neutral third party helps you to reach a compromise with the other party. It is important to note that mediators do not decide the outcome of a dispute.

You also can opt for other forms such as arbitration and adjudication.

 

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