What is a breach of contract?
A breach of contract is when one or both parties to a contract fail to fulfill their obligations as described in the agreement. In Washington, a breach of contract occurs when there is a failure to perform an obligation defined in the contract, to a degree that prejudices another party’s rights or interests. If a breach of contract has occurred, then the non-breaching party has the right to seek damages or, in certain cases, specific performance. Damages may be awarded when one party fails to comply with their responsibility under the agreement, which results in a monetary loss. For example, if one party fails to deliver merchandise as promised, the other party may be able to collect an amount equal to the value of the merchandise plus any other losses due to the breach. In cases where a compensatory damages award is inadequate to remedy the harm, the non-breaching party may be able to obtain a decree of specific performance. This order requires the breaching party to complete the performance of their obligations as defined in the contract. In Washington, courts have the discretion to determine whether a breach of contract has occurred. If a breach of contract is found, the court must decide which party is responsible and what type of relief should be granted. It is important to understand the nature of a breach of contract so that parties to an agreement can be sure that their rights are protected.
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