What is a breach of contract?

A breach of contract is when a party fails to perform any term of a contract, written or unspoken, and the other party is harmed as a result. In California, a breach of contract occurs when a party does not fulfill their end of the contractual agreement, whether it is a legally binding contract or an implied contract. For a party to be found liable for a breach of contract, the other party must establish the following three elements: a valid contract, the breach of an obligation in the contract, and resulting damages to the non breaching party. A valid contract is defined as a promise that is enforceable by law. The breach of the promise is the act of breaching a term of the agreement. Breaching an obligation can be done in a variety of ways, such as failing to perform all of the duties stated in the contract, delivering substandard goods or services, or violating the terms of the agreement. Damages are caused when the breaching party does not fulfill their contractual obligations. These damages can take many forms, such as economic losses (such as the cost of repair or replacement of goods or services) or non-economic losses (such as embarrassment or emotional distress). The extent of the damages will depend on the parties’ contracts and the state law, as well as any other applicable laws. When a breach of contract occurs in California, the non-breaching party can seek damages in court. If the court finds that the breach of contract was material, then an award of damages may be granted to the non-breaching party. This award is meant to compensate the non-breaching party for any losses sustained as a result of the breach.

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