What are the consequences of breaking a contract?
February 29, 2024 | 45,00 EUR | answered by Sandra Altmann
Dear lawyer,
I have a question regarding contract law and hope you can help me. Some time ago, I entered into a contract with a company in which it was stipulated that they would provide me with a service. Unfortunately, they did not provide this service as agreed, thus breaching the contract. Now I am wondering what consequences a breach of contract has and what I can do in this situation.
The background is as follows: I hired the company because I urgently needed their service. However, they did not deliver the agreed services, which caused significant problems in both my personal and professional life. I have already tried to contact the company and find a solution, but unfortunately they were uncooperative and ignored my complaints.
My concerns now are that I may be left with the costs that I have already paid for the service that was not provided. Additionally, I am wondering if I can take legal action against the company and what options are available to sanction the breach of contract and obtain compensation.
Therefore, my specific question to you is: What are the consequences for the company in case of a breach of contract and what steps can I, as a customer, take to enforce my rights and receive appropriate compensation? I greatly appreciate your professional assessment and thank you in advance for your help.
Best regards,
Ludwig Götzinger
Dear Mr. Götzinger,
Thank you for your inquiry regarding contract law. I am sorry to hear that you are having problems with a company that has not fulfilled a closed contract as agreed. A breach of contract can indeed lead to significant inconveniences, both financially and personally. I will try to answer your questions as thoroughly as possible.
Firstly, it is important to understand that a breach of contract can have legal consequences for the company. If a contractual partner does not fulfill their contractual obligations, a so-called breach of duty occurs, which is referred to as a breach of contract. In this case, as a contractual partner, you have various legal options to take action against the company and receive appropriate compensation.
One possible option is to enforce claims for damages. If the company has not fulfilled its contractual obligations and you have suffered damage as a result, you have the right to damages. This is intended to compensate for the damage incurred and put you in the position you would have been in without the breach of contract.
To claim damages, a written reminder is usually required, in which you give the company a reasonable deadline to fulfill the contractual obligations after the fact. If the company does not respond even after the deadline has passed or continues to not fulfill the contractual obligations, you can take legal action to claim damages.
Another option is the extraordinary termination of the contract due to the breach of contract. If the company has seriously violated its contractual obligations and continuing the contractual relationship is unreasonable, you can terminate the contract without notice. This relieves you of further obligations under the contract and also gives you the opportunity to claim damages.
It is important that you carefully keep all relevant documents and communications with the company to be able to prove in case of a legal dispute that the company has breached the contract. If you are unsure about how to proceed, I recommend seeking advice from an experienced contract law attorney who can professionally advise you and represent your interests.
I hope my explanations have been helpful to you and wish you success in enforcing your rights.
Best regards,
Sandra Altmann
