What options do I have if a contracting party does not fulfill its obligations?
June 26, 2022 | 70,00 EUR | answered by Daniel Netz
Dear Business Law Attorney,
I am contacting you because I am in a difficult situation with my business partner and I am not sure how to proceed. My name is Jakob Falk and I am a self-employed entrepreneur in the field of online commerce.
The current situation is as follows: I entered into a contract with a supplier a few months ago, who regularly supplies me with goods. However, this partner has not been fulfilling his contractual obligations properly lately. The deliveries are arriving late, the quality of the goods does not meet the agreed standards, and communication is difficult.
This current situation is causing me great concern, as the unreliability of my business partner is negatively affecting my business. I fear loss of revenue and would like to know what options I have to take action against this business partner and enforce my rights.
My question to you as an expert in business law is: What legal steps can I take to compel my business partner to fulfill his obligations? Are there ways to unilaterally terminate the contract or make claims for damages? What legal aspects should I consider in this situation?
I thank you in advance for your support and look forward to your professional advice.
Sincerely,
Jakob Falk
Dear Mr. Falk,
Thank you for your inquiry and the trust you have placed in me. I am sorry to hear that you are in a difficult situation with your business partner. As an expert in commercial law, I can provide you with some legal steps you can take in this situation.
First and foremost, it is important to determine whether the supplier is actually breaching contractual obligations. To do so, you should carefully review the contract and all communication with the supplier to establish the exact agreements regarding delivery times, quality of goods, and communication. If it turns out that the supplier is indeed not fulfilling their obligations, you have various legal options available to you.
One option would be to give the supplier a reasonable deadline to fulfill their contractual obligations. If they fail to meet this deadline, you could withdraw from the contract and potentially claim damages. You could also consider a reduction in the purchase price or claiming damages for lost profits.
It is important to document all steps in writing and communicate clearly with your business partner. If you wish to take legal action against the supplier, I recommend seeking advice from a lawyer to ensure your rights are best protected.
Please note that there may be legal pitfalls when terminating a contract, so it is advisable to seek professional advice. Additionally, make sure that all actions are in accordance with applicable law to avoid potential legal consequences.
I hope this information is helpful to you and I am available for further consultation. Please do not hesitate to contact me with any further questions.
Best regards,
Daniel Netz
Commercial Law Attorney
