Sheehan & Associates, P.L.C.

You can file a claim when a contract is breached

You made a contract, and it's been broken. What can you do now? Understanding the law can help you decide.

What exactly is a breach of contract?

When you enter into an agreement, there will be terms and conditions for that arrangement. For example, if you purchase a cable television plan from a local business, you likely have a set price for 12 months. If you cancel early, there is likely a termination fee in place because of breaching your original contract and obligation. Any time a contract is broken early or due to inadequate acts on the part of one of the parties, the other party is in a position to request reparations.

What happens when a contract is breached?

One of the things that can happen is that one person can ask for compensation for the breach. Another person could ask the courts to enforce the contract. For instance, if the contract is for the sale of an animal, the person buying may ask the court to enforce the contract so they can obtain their new pet.

What kinds of damages can be collected?

There are several kinds of damages. These include punitive damages, nominal damages, liquidated damages, and compensatory damages.

What other kinds of compensation or settlements are there?

You can also ask for a specific performance to be completed or for the cancellation of a service plus restitution. Cancellation simply voids a contract and eliminates any further obligation for either party. Restitution means that a non-breaching party may sue and then seek compensation by suing.

Our website has more information on obtaining a settlement for a broken contract.

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Sheehan & Associates, P.L.C.
1460 Walton Blvd , Suite 102
Rochester Hills, MI 48309

Toll Free: 877-600-7891
Phone: 248-218-1473
Fax: 248-650-5368
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