There may have been a day when a handshake between businessmen would suffice as a rock solid contract though even that could be up for debate. These days, a meticulously written contract is a necessary part of doing business. It ensures that both sides know their obligations and what can happen if they don't follow them. However, "knowing" and "doing" are two very different things. Often, one side fails to hold up its end of the bargain and the other side is left holding the bag.
If a party or a business is suspected of being in breach of contract, it may be necessary to use mediation. If mediation fails to resolve the issue, one party can file a lawsuit, using litigation to bring the other party to court to enforce the contract.
For lawsuits, there are a number of specific damages for which the allegedly slighted party can seek, including:
• Compensatory damages are meant to return the suing party to the financial state they would have been in if the other side had not breached the contract.
• Punitive damages are awarded to provide punishment to the party that breached the contract.
• Liquidated damages encompass damages that could have been specifically stated in the contract itself in the event of a breach.
• When other damages aren't enough to fully compensate the wronged party, a remedy known as "specific performance" may be used to put the other party back into good standing.
• Cancellation and Restitution is used when the party that did not breach the contract cancels the contract and asks for restitution.
Breach of contract issues can become incredibly complex, so you may want to consider bringing your case to an attorney.