What are the defenses to a breach of contract?

In Delaware, a breach of contract can occur when one or both parties fail to meet their contractual obligations. The defenses to a breach of contract are legal justifications that allow one party to avoid liability for the breach. One defense to a breach of contract is that the contract was void or voidable from the start. A contract is void if it was made with an illegal purpose or if one or both parties was not competent to contract. A contract could also be voidable if one of the parties was tricked or coerced into signing it. Another defense is duress. If one party was forced to sign the contract against their will, the contract could be considered to have been made under duress and the party could sue to have it declared void. Similarly, if one party has been threatened or coerced into performing the contract, then they could have a valid defense to a breach of contract. A third defense is a mistake, or “unilateral mistake”. If both parties were mistaken on a key point of the contract, then they may be able to prove that the contract was made under a mistake and thus void. The defenses of incapacity, illegality, unconscionability, laches, estoppel, and fraud also may be raised to defend against a breach of contract. No matter what defense is raised, it is best to consult with an experienced local attorney to discuss the legal issues and to determine the best strategy for resolving a breach of contract dispute.

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