How do I know if I have a good breach of contract business case?

The business contracts you create when you start working with another company set clear rules for your working relationship. Or, at least, they should do so if they were properly written.

If you feel the other company has let you down, your first port of call should be your contract. Take it out and reread it, getting help to do so if there are parts you are unsure about.

What if you are sure the other party has broken the contract?

If you are sure there has been a breach, work out the best person to tell. Let’s say the owner of the other company is your school friend. Your staff may claim they have been telling their counterparts about the issue to no effect. Yet a simple phone call from you to your friend might solve the matter in seconds.

If the other side continues to deny any wrongdoing, here is what you need to consider:

• Do they have any justifiable reason for the breach? If you are considering a lawsuit, you need to make sure it is worth your time. You are probably wasting your time if they can show it was due to issues beyond their control.
• Can you prove it has damaged your business? Being upset about something is not enough. You need to prove the financial consequences of the breach. If you could have easily solved the issue yourself to avoid those losses, it would reduce the effectiveness of your argument.
• Are you in time to claim? Check the statute of limitations to see how long you have to file.

It is best to avoid going to court where possible. Yet, counter-intuitively, the best way to do that may be to get early legal help to understand your rights and show you are serious.