Contracts govern many business and transactional relationships. From selling vehicles to hiring employees, New Jersey residents may encounter contracts in many different aspects of their lives. When contracts are followed, the parties to them get what they intend. When they are breached, some parties may be harmed while others are enriched.
To understand contractual breaches, readers must first understand the structure of a contract. This post will provide information on contracts but all legal advice about contracts and breaches should be sought from local civil litigation professionals. All contracts are different and individuals can benefit from getting advice on their specific legal needs.
Elements of a contract
Contracts possess several basic elements. They include:
- The Offer: One party will offer a product, service, or payment to another party in exchange for something else.
- The Acceptance: The party that received the offer will accept the terms provided by the offeror. The receiving party may also reject the offer or make a counter-offer to change the terms.
- Consideration: Consideration is something of value provided by the accepting party to prompt the offeror to act.
Depending on the purpose of the contract, there can be many more terms than these. Ensuring that a contract meets the needs and requirements of the parties is imperative because often disputes and breaches happen when there is confusion in the terms of executed agreements.
Possible damages after a breach
Litigating a breach of contract claim can be complicated and many individuals seek legal help when they have suffered contractual damages. Possible damages from breach claims can include cancellation of the contract, restitution to return the harmed party to their pre-contract state, and damages to compensate the harmed party for their losses. In some cases, specific performance can compel a breaching party to act if there are no other ways for the harmed party to be helped.
Damages can vary based on the terms of different contracts. It is important for individuals to know what damages are available to them before they pursue litigation. Their civil litigation attorneys can help them understand their rights and options.