How should you handle a breach of contract for failure to pay?  Is this a straight collection effort or will you need an attorney to protect your interests and make sure you continue to have grounds to collect for any resulting damages?

The failure to pay is a breach of contract and is the source of many commercial and business disputes here in San Diego and throughout California.  Failing to pay for contracted goods or services per the terms of the agreement constitutes a breach of contract.  The party responsible for the failure to pay may often claim issues with the provision of the goods or services, and it will be necessary to document completion of the work in fulfillment of the terms of the original business contract that governed the transaction.  If you are a party to a contract and are not paid for your work, we invite you to call us for a free and substantive consultation at 858-535-1511.

We will discuss the unique circumstances surrounding the contract and your associated work, and provide options to resolve the dispute.  While a breach of contract for failure to pay can seem to be a straight forward issue, this type of contract business litigation can take a substantial amount of time to complete, and may or may not be the most cost-effective solution available to you.

The Watkins Firm has more than 40 years of experience with breach of contract cases.  You should know the Watkins Firm is able to resolve the majority of our breach of contract cases through effective, leveraged negotiation.  Your Watkins Firm attorney works to develop a thorough, well-documented chronology of events and a mastery of all available damages.  This is the leverage needed to draw opposing parties and their counsel into productive negotiations.  It is also the fastest, and least expensive way to resolve a breach of contract for failure to pay case.

In many cases the the failure to pay presents not only financial damages.  These situations can damage a strong and otherwise profitable business relationship.  We are often able to negotiate a “settlement” or resolution of the issues between the parties.  The party who is the victim of the breach is responsible to take immediate, prudent and reasonable action to mitigate the damages associated with the breach.  The failure to do so provides opposing parties with a valid defense for breach of contract, and can reduce or eliminate their opportunity to recover for resulting damages.

There are alternatives to litigation, including mediation and arbitration, and one or both of these may be mandated by the terms of the underlying agreement.

Pro-Tip: “When I advise my clients, I tell them the most important item in litigation is not whether you are liable or they’re liable, or somebody breached. I say the three most important things in a lawsuit are: damages damages damages.

And I say, it just like, you know, location, location, location, because it’s that important in the type of damages you can obtain are so varied that if you focus on whether you’ve been damaged under the law, there will be a statute or a case that says you are entitled to those damages. So if you track it backwards from I lost a hundred thousand dollars in this deal and how you lost it on those facts and what you did lose, you’ll probably find 99% of the time, a statute or a law or a case or something that gives you a remedy, a right to those damages and how you can collect.

Damages are what the law can afford you in a civil case. In a criminal matter, the law can afford you incarceration of the offending criminal, but in a civil matter, since your contract and your agreement was mostly about money, then you get money back. And the only time you don’t just get money is when it’s a case where a law will afford you an injunctive or provisional remedy, which is for unique types of damages and unusual circumstances.” – Dan Watkins, Founding Partner

A breach of contract for failure to pay is a serious legal matter.  Most of our clients are interested in curing the failure to pay and resolving the dispute as quickly and cost-efficiently as possible.  It may be important to preserve the relationship with the non-paying party to protect ongoing business relationships.  Watkins Firm attorneys contribute more than four decades of experience and proven legal skill in these matters.

We invite you to review our podcast Episode 5 – Breach of Contract as well as the strong recommendations of our clients and contact the Watkins Firm or call 858-535-1511 for a complimentary consultation today.