New Jersey contract law governs the creation, enforcement, and breach of contracts. It serves as the foundation for civil litigation in the state.
Agreements are what make the business world go ‘round. The interdependence of companies and individuals fuels business progress and, ultimately, success. So important are these agreements that they become contracts—legally binding documents that hold both parties accountable for agreed-upon actions/tasks. When one party fails to live up to the promises outlined in a legal agreement, a “breach of contract” New Jersey suit can be initiated.
Understanding the intricacies of a breach can help you make informed decisions and secure the best possible outcome for your situation.
Types of Breach of Contract
Breach of contract can occur in the following ways:
- Material breach—a serious violation of the contract terms such that fulfilling them is now extremely difficult or impossible;
- Minor breach—when one party fails to perform some aspect of the contract, but the breach is relatively insignificant and does not affect the overall purpose of the contract;
- Anticipatory breach—when one party indicates that he or she will not perform his or her contractual obligations; and
- Actual breach—when one party fails to perform their obligations as agreed within the contract’s timeframe or terms.
Recognizing the type of breach is essential to know how to proceed legally and whether you have grounds for termination or damages.
Breach of Contract: Remedies
When a breach of contract case ends up before a court, the burden of proof falls upon the plaintiff to prove that the actions—or inactions—of the other party resulted in the contract being broken. If successful in proving a breach of contract, the plaintiff will seek to be made whole through monetary payments (remedies) or injunctions (a court order compelling a party to do or refrain from specific acts).
Available remedies may include:
- Damages—a common remedy, which can be compensatory (for actual losses) or punitive (to punish particularly egregious behavior);
- Specific performance—requires the breaching party to fulfill the terms of the contract rather than paying damages;
- Rescission—voiding the contract, releasing both parties from their obligations; and
- Restitution—the breaching party must return any benefits or payments received under the contract.
The type of remedy available depends on the nature of the breach and the specific contract terms. Each case is unique, and your legal options may vary depending on the facts.
Breach of Contract: Defenses
The defendant in a breach of contract case must argue why the alleged breach is not really a breach of contract and should be excused. Common arguments used include:
- Fraud—the claim that the contract was not valid because key information was withheld or falsified;
- Duress—contract was signed through physical or verbal threats;
- Undue influence—one party had a power advantage over the other in order to force a signature to the contract;
- Mistake—defendant must prove that both parties erred about the subject matter, itwhich might be enough to invalidate the contract; and
Statute of limitations—case can be thrown out of court if the defendant can show that the statute of limitations has expired.
In New Jersey, a breach of contract claim must be filed within six years. If the injured party does not bring the claim within this period, it may be dismissed. Although a breach of contract may seem apparent, it is not always immediately evident.
Asserting appropriate defenses can significantly impact the outcome of your case and may help determine whether the breach can be excused or mitigated.
Why Legal Representation Matters
Navigating a breach of contract case can be complex due to the varying types of breaches, the specific contract terms involved, and the need for clear evidence to prove your case. An attorney can help you:
- Identify the type of breach and determine the most appropriate remedies;
- Evaluate defenses such as fraud, duress, or mistake that may affect the case;
- Ensure timely filing of your claim within New Jersey’s statute of limitations;
- Resolve disputes through negotiating settlements, arbitration, or mediation to potentially resolve the issue outside of court, saving time and legal fees;
- Review and interpret contract terms to ensure that all clauses are enforceable and clear;
- Represent you in court and advocate on your behalf if the case escalates; and
- Minimize financial risks by advising you on the best strategy to mitigate damages or protect your assets.
The many intricacies of breach of contract cases require in-depth knowledge of New Jersey law.
Without legal representation, you risk misinterpreting contract terms, missing key details that could weaken your case, or failing to respond to defenses raised by the other party. In complex breach of contract cases, these mistakes can lead to costly errors or missed opportunities for recovery.
Working with a skilled attorney increases your chances of a favorable outcome.
Let Weiner Law Group Help
At Weiner Law Group, we have extensive experience handling breach of contract New Jersey cases. Our team has successfully represented clients in a variety of contract disputes. We understand the complexities of contract law in New Jersey. Whether you need assistance asserting defenses, enforcing contracts, or seeking remedies, our team is here to help.
We’ve earned a reputation for compassionate, professional representation. Our attorneys have a proven track record of success. Our commitment to our clients’ needs and our focus on clear communication set us apart as trusted advocates in breach of contract matters.
Experienced litigators, such as Jay R. McDaniel and the commercial litigation team at Weiner Law Group, will help you determine if you have a case. Should breach of contract be a valid dispute, we can help you make the case for it—or against it. Count on us to help protect your interests.
Reach out to us by filling out our contact form or call our main office at 973-403-1100.