Contracts are the foundation of commercial relationships. When one party alleges that another has breached a contract, litigation may follow. Understanding the principles of contract enforcement—and the defences available—is essential for businesses and individuals alike.
Enforcing a Contract
To succeed in a breach of contract claim, the plaintiff must establish: 1. That a valid, enforceable contract existed 2. That the defendant breached a term of that contract 3. That the plaintiff suffered loss as a result
The remedy sought is typically damages (financial compensation), though in some cases specific performance (an order requiring the defendant to perform their obligations) may be available.
Common Defences
Defendants in breach of contract cases may raise a number of defences: • No contract was formed (e.g., lack of agreement, consideration, or intention to create legal relations) • The contract is void or unenforceable (e.g., due to misrepresentation, duress, or illegality) • The alleged breach did not occur, or was not material • The plaintiff failed to mitigate their losses • The contract contains an exclusion or limitation clause that applies
Contractual disputes can be complex and fact-intensive. Early legal advice is crucial to assess your position and explore settlement before matters escalate.