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Breach of Contract in South Carolina

In South Carolina, contracts in business are legally binding. If you enter into a contract with your business partners or other third parties, you would expect them to honor the terms and conditions specified in the agreement. Unfortunately, there may be instances where one party fails to honor their obligations and commitments, intentionally or unintentionally, leading to a breach of contract.

Understanding Breach of Contract

A breach of contract occurs when one party fails to fulfill the commitments and terms outlined in a legally binding contract. It usually involves a violation or non-performance of some terms of the agreement. Some reasons for contract breaches may include:

• Disputes over contract terms
• Financial difficulties
• Failure to deliver goods or services
• A party’s unwillingness to fulfill their obligations
• Unforeseen circumstances

Remedies for Breach of Contract

Breach of contract remedies are the options available for the non-breaching party when the other party breaches the contract. The remedies may be stated in the contract itself, or otherwise may be generally available under the law. These remedies are broadly categorized as:

• Legal Remedies: Legal remedies are the potential actions that can be pursued through the legal system to seek compensation or enforce the contract terms. This may include monetary damages meant to compensate the non-breaching party for the losses experienced due to the breach.
• Equitable Remedies: Equitable remedies are based on principles of equity and fairness and are often applied when monetary compensation is insufficient. These remedies provide non-monetary relief to the aggrieved party in cases where traditional legal remedies will not appropriately serve the non-breaching party. Equitable remedies include:
• Specific performance: In specific performance, the court orders the breaching party to meet their contractual obligations as initially agreed upon.
• Rescission: This cancels the existing contract, effectively returning the parties involved to their pre-contract positions. It is typically used in situations of duress, fraud, or misrepresentation.
• Injunction: An injunction is a court order that prevents a party from taking certain actions or requires them to perform specific actions. This remedy is often sought to prohibit the breaching party from continuing the illegal behavior.

Contract Dispute Resolution

There are solutions for resolving contractual conflicts between parties to a contract. If you are facing a breach of contract in South Carolina, you should find an efficient way to resolve the disagreement.

The most common methods of contract dispute resolution include negotiation between parties involved in the dispute. This is a flexible and informal process where the parties involved in a conflict attempt to find a mutually satisfactory solution without involving a third party.

The disputing parties may also opt for mediation, where a neutral third party assists them in reaching a mutually agreeable solution, although the third party’s suggestions are not binding. Another alternative is an arbitration, where a qualified third party arbitrator hears the case and makes a binding decision. If these out-of-court methods fail or otherwise cannot be agreed upon, you may want to consider litigation, which is a process of resolving a contract dispute through a lawsuit in a court of law. Business disputes can often be complex, and you may need the help of an attorney to navigate the process.

Contact Buxton & Collie, LLC Today

At Buxton & Collie, LLC, our business law attorneys can help you resolve your dispute amicably. Call us at (843) 606-2397 or contact us online to get started.