Business litigation and business disputes are about damages in San Diego and Southern California. Unlike real estate and other disputes where it is possible to enforce “specific performance” and other legal remedies, the principle focus of a business dispute is the financial damages. Damages represent the actual financial losses which result from another company’s failure to fulfill a contractual agreement or provide goods or services, as well as the cost to find another solution. Damages will also include the difference in price between the benefit of the bargain anticipated in the original agreement and the ultimate agreement which replaced it.
For example. Company A agrees to provide 100 widgets to Company X for $100,000 but is unable to fulfill their obligations due to international market issues (supply). Company X must seek another vendor for the widgets and ultimately contracts with Company Z to purchase the 100 widgets for $125,000. What are the damages? There is a cost (in terms of labor and time) to research other suppliers and find a new source (100 hours at $38.00 per hour or $3800.00). There was a difference in cost between the actual purchase price of $125,000 and the original price of the contract with Company A for $100,000 which amounts to $25,000. The damages in this case may be at least $28,800.00 in the most basic of terms.
The Watkins Firm has extensive experience in breach of contract cases, the defense of breach of contract and the resolution of business to business disputes here in San Diego. We are often able to negotiate a “work around” which allows Company A a few extra weeks to provide the parts to Company X while lowering the cost per widget to accommodate the failure to fulfill the original agreement. We work with our clients to take prompt and prudent action to mitigate the damages under California law when necessary, while resolving business disputes quickly and cost-effectively.
Business litigation and business disputes are about damages. If you are in the midst of a business dispute or are concerned about the potential for business litigation we invite you to contact the Watkins Firm or call 858-535-1511 for a free consultation. Learn about the unique strategy the Watkins Firm employs to successfully resolve business disputes in the shortest possible time frame and a cost-efficient manner.