The failure to mitigate the damages is a valid defense in breach of contract litigation. When a party suffers “damages” from a breach of contract in California, they are required to take reasonable and timely actions to limit their losses. This is known as mitigating the damages, and the failure to take quick and prudent action to reduce or eliminate losses can be a useful strategy when defending a breach of contract lawsuit in San Diego and throughout California.
Defending allegations of breach of contract requires legal experience and expertise. The experienced contract litigation attorneys at the Watkins Firm have successfully managed these cases for decades here in San Diego. Business litigation is all about the damages. When a breach of contract occurs and notification has been provided, the party who will not receive the benefit of the bargain is required to take immediate action to reduce or eliminate the impact this will have upon their business. This includes notifying customers associated with the potential breach, looking for other sources of supply, and taking immediate actions that most prudent business people would take. If the company fails to do so, the Judge should instruct the jury that “A plaintiff cannot be compensated for damages which he could have avoided by reasonable effort or expenditures.”
The attorneys at the Watkins Firm will also investigate any sources of “contributory negligence” or actions that the “injured” party took or did not take that either resulted in the breach of contract itself, or the accumulation of damages that could have been reasonably avoided.
If you have received notice that your company has allegedly breached a contract with another business, we invite you to contact the Watkins Firm for a complimentary consultation at 858-535-1511. Learn about our unique approach to litigation, and how our strategies reduce the expense of this process while resolving the dispute as quickly as possible. We will help you to take steps to strengthen your position, while working to resolve the breach of contract dispute through effective negotiations and other alternative resolution options.