What are the defenses to a breach of contract claim?
In Texas, there are many defenses to a breach of contract claim. These defenses can be used to protect businesses from legal liability if they have failed to fulfill their contractual obligations. One of the most commonly used defenses is the statute of frauds. This defense states that all contracts relating to the sale of goods or services with a total purchase price of $500 or more must be in writing and signed by both parties. If the contract does not meet these requirements, then a court may not enforce it. The defense of impossibility is also commonly used in breach of contract cases. This defense states that if an event occurs which makes performance impossible or impracticable, then the parties are released from fulfilling their contractual obligations. The defense of lack of consideration may be used if the parties have not exchanged any type of value in order to enter into the contract. This means that one party can allege that there was never a meeting of the minds and that there was never a contractual agreement in the first place. The defense of illegal or unenforceable terms may be used if the contract contains terms that are illegal or unenforceable. If the court finds these terms to be unreasonable or unconscionable, they may rule that the contract is invalid. The defense of duress or coercion is another defense to a breach of contract. This defense states that if one party is forced to enter into a contract due to the threat of harm, then the contract is not valid. Finally, the defense of mistake may be used if the parties have made a mistake as to the nature of the agreement. If a contract is entered into due to an honest mistake, then the court may find that the agreement is not valid.
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