Commercial Contract Disputes
When examining business disputes that come before the Courts, the majority involve issues with contractual provisions.
Despite their frequency, commercial contract disputes are far from desirable. They drain resources, time, and money, diverting your attention from growing your business.
Our specialist Contract Disputes Solicitors take a determined approach to dispute resolution, aiming to settle matters swiftly and cost-effectively so you can focus on your organisation. We also proactively review and draft your commercial contracts to include provisions that prevent disputes from arising and ensure robust terms for effective dispute resolution if they do occur.
Based in our city centre offices, we are a recognised and highly recommended diverse, multi-lingual law firm located in Nuneaton and Warwickshire. Our solicitors utilise best-in-class technology to provide clients with streamlined, modern, and highly effective civil litigation advice and representation. Our extensive experience has earned us a robust reputation for excellence, working with the UK’s best Barristers and King’s Counsel, Forensic Accountants, Industry Experts, Insolvency Professionals, and Surveyors who provide additional support to our Civil Litigation Department when needed. Our clients also benefit from our ability to instruct the country’s most respected expert witnesses.
Common Questions About Commercial Contract Disputes
What are the key elements of a contract?
Before resolving a contractual dispute, our Solicitors must determine whether a contract exists. The essential elements of a contract are:
- Offer
- Acceptance
- Consideration
- Intention to create legal relations (assumed in commercial dealings)
- Certainty of terms
Oral contracts are as legally binding as written ones as long as they contain these elements. However, proving the terms of an oral contract can be challenging, which is why it is always best practice to put commercial contracts in writing.
What constitutes a breach of contract?
A breach of contract occurs when one party fails to fulfil its obligations under the agreement.
Breaches of contract fall into three categories:
- Minor – where a term is breached, but the breach is trivial, and the contract can still be performed. The injured party can claim damages, but the contract is not terminated.
- Material – when several breaches occur, or the breach significantly affects the contract, making it impossible to continue its performance.
- Anticipatory – where one party informs the other that they cannot perform part or all of their contractual obligations. This can lead to contract termination, and the injured party can claim damages.
What is a force majeure clause?
A force majeure clause allows one or both parties to a contract to be excused from performing their obligations due to an event outside their control.
The effect of the clause depends on its wording. Most force majeure clauses suspend contractual obligations, reactivating the agreement once the event ends. The affected party’s liability for non-performance is also removed until the event ceases.
Parties affected by a force majeure event are expected to take all possible steps to avoid or mitigate the event’s consequences. Failure to do so could result in the unaffected party bringing a breach of contract claim.
How are damages assessed in breach of contract claims?
The purpose of awarding damages for breach of contract is to compensate the injured party for their loss, not to punish the wrongdoer. Damages should, as far as possible, put the injured party in the position they would have been in had the contract been performed.
The Court uses the ‘but for’ test to assess damages. This involves examining the Claimant’s position after the contract breach and comparing it to their hypothetical position ‘but for’ the breach.
With our decades of experience, we can quickly gauge the level of damages you could expect to receive and use litigation tactics such as a Part 36 offer to achieve the best result.
Why Choose Us?
Commercial contract disputes are diverse and can involve complex cross-jurisdictional issues, potentially threatening multi-million-pound projects or deals. We understand the stakes and have the talent, experience, and determination to secure an outcome that benefits your business.
Cocks Lloyd Solicitors provides exceptional Commercial Contract Disputes and Civil Litigation services to clients. People choose and recommend us not just in Nuneaton, Tamworth, Atherstone, Hinckley and Leicester, but across Warwickshire, Staffordshire, Leicestershire and the West Midlands, and the whole of the UK, because we get results.
To receive expert advice and representation regarding Commercial Contract Disputes and Civil Litigation, please contact us using the form below, call us on (0247) 6641642, email via the Request a Callback form on this contact page.