At the time you enter into a legally binding contract with another party you’re not expecting them to renege on their promises. You’re relying on them to fulfill their obligations and to perform as agreed. In fact, in most instances the other party doesn’t set out to defraud you. However, life happens, circumstances change, priorities shift, and before long you’re out of time, money and a whole lots more.

At What Point is a Contract Breached?

Generally, a breach of contract occurs under one of these three circumstances:

1. A party acts or fails to act in a way that prevents another party from performing his duties as per the contract.

2. A party refuses to perform as promised.

3. One or more parties “intend” not to perform as agreed.

Some contract breaches are more severe and damaging than others. Contracts can be breached in whole or in part. When a whole (aka material) breach occurs the injured party can ask the court to order the other party to perform as agreed, and can recover damages as well. With a minor (aka partial) breach, performance cannot be ordered although damages can be sought and recovered.

Does your Breach of Contract Case Satisfy Florida Law?

Under Florida law, not every contract breach meets the legal requirements to justify a lawsuit. This is referred to as the ‘cause of action’ threshold. If your case does not satisfy the legal requirements, you cannot file a lawsuit seeking recovery of damages sustained as a result of the breach.

So, how do you know if your case meets the threshold established by Florida law?

According to Florida state law, four elements must be satisfied in order for you to have an actionable breach of contract case. Ask yourself these four questions to see if your case meets the legal requirements:

1. Is there a legally binding contract?
You must first prove that a legally binding contract exists between the parties. Obviously, with a written contract or agreement this requirement is easier to satisfy. If you do not have a written contract of any kind, you will need to prove that the parties entered into a verbal agreement.

2. Did you perform as expected?
Before you attempt to sue another party for breaching a contract let’s first confirm you performed as agreed. Is there anything you should have done but did not do? If you fulfilled your obligations as per the agreement, consider this element satisfied.

3. Was the contract breached?
Once you’ve established that a contract existed and that you kept your end of the bargain, you must prove that the other party failed to perform, leaving their contractual obligations unfulfilled, or that he/she performed unsatisfactory.

4. Did you sustain damages due to the breach?
This last requirement is just as important as the first. A breach can exist; however, if it did not result in damages to you, you cannot satisfy this requirement. You must provide that you sustained damages (i.e. monetary loss) as a result of the other party’s breach.

If you’re dealing with a breach of contract issue in Florida and your situation satisfies the four requirements above, you should consult the knowledgeable Florida contract law attorneys of Schecter Law. In order to recover for your damages, you must act before the Florida statute of limitations expires.