What are the legal remedies for a breach of contract?

In Nebraska, the legal remedies for a breach of contract depend on the type of breach. The most common remedies are damages, rescission, or specific performance. Damages are monetary awards granted to a party to compensate them for losses that they have suffered due to the other party’s breach. Special damages are intended to restore the non-breaching party to the position they would have been in if the contract had been performed. General damages are intended to compensate a party for losses that were not reasonably foreseeable and that could not have been avoided. Rescission is a remedy that allows a party to end the contract and restore the parties to their pre-contract positions. This remedy is only available if the breach is material or if the other party’s performance is not possible. Specific performance is a remedy that forces the breaching party to perform as promised or to pay damages to the non-breaching party. The court can order specific performance when money damages are not adequate to compensate the non-breaching party. In some cases, a party may be able to sue for punitive damages. Punitive damages are damages that are awarded to punish a party for particularly egregious conduct or to deter future similar conduct. Finally, a party may be able to seek an injunction to prevent the other party from continuing to breach the contract or to compel them to perform their obligations. An injunction is a court order requiring that the breaching party comply with the terms of the contract.

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