Contracts help us do business. Just like the rule of law, mutual agreements on services and sales build trust and help everyone participate fairly in the systems of business and real estate. Contracts also help us set things right when there has been a disagreement or failure to deliver one end of the agreement.
There are many ways to solve a contract dispute. Many standard agreements have clauses about how disputes may be settled, such as arbitration or mediation, but some may be avoidable or unenforceable. This is often true in employment or residence contracts.
A former president of a large corporate division based in Florida recently sued his former employer over the value of a equity stake he claims was guaranteed during his hiring process. The suit claims more than $40 million in damages based on an agreement with the chief executive officer for the stake.
The company filed a countersuit which claimed the initial suit breached the plaintiff's contract, revealing confidential information in violation of a nondisclosure clause that remains in force after termination. The countersuit also claimed the former president was not owed an ownership stake, as any later agreement would have violated the written contract as well.
Breaches of contract or disagreements about their terms are often complicated and demand special attention to make sure parties get fair treatment in their dealings. An attorney may help correct a breach of contract situation, either as an advisor during the drawing up of contracts or a representative if courts become involved.
Source: Tampa Bay Business Journal, "Coke Florida sues former president for breach of contract," Margie Manning, accessed May 08, 2018