Who has the responsibility to mitigate the damages in a contract breach in San Diego or anywhere in the State of California? What does it mean to mitigate the damages and which party should be concerned in a breach of contract case?
Key Takeaways from the Responsibility to Mitigate the Damages in a Contract Breach:
- If you are the victim of a broken contract you are required by law to mitigate the damages in a contract breach here in California while you work to negotiate a positive resolution or find another supplier/vendor.
- A strong chronology and mastery of the damages are the key to gaining leverage and ultimately resolving breach of contract disputes in California.
- Mediation and arbitration may offer additional alternatives for efficient resolution.
- The responsibility to mitigate the damages in a contract breach here in San Diego and throughout California falls on each of the parties, but especially on those who are the victim of a breach of contract.
If you are the victim of a broken contract you are required by law to mitigate the damages in a contract breach here in California while you work to negotiate a positive resolution or find another supplier/vendor. The experienced breach of contract and business litigation attorneys at the Watkins Firm have more than four decades of experience resolving breach of contract cases. If you are involved in a business breach of contract case you need the advice of one of our proven business dispute resolution attorneys.
A Strong Chronology and Damages are the Key to Gaining Leverage in a Breach of Contract
A strong chronology and mastery of the damages are the key to gaining leverage and ultimately resolving breach of contract disputes here in San Diego, and throughout California. What specifically happened and when? What supporting documents and other evidence are available to reconstruct the sequence of events? How and when did the breach become known to either or both of the parties?
The Watkins firm has more than 40 years of proven, successful experience resolving San Diego and Southern California business breach of contract cases. Our strong chronology and mastery of the damages provides the right type of leverage to gain the attention of opposing parties and drive the dispute to conclusion. It may surprise you to learn the Watkins Firm is able to resolve a substantial majority of our contract disputes through effective, leveraged negotiation based upon our chronology and damage work. This is the fastest, least expensive and most productive way to resolve any breach of contract dispute.
Why Does the Victim Have to Mitigate the Damages in a Contract Breach in California?
Mitigating the damages in a timely, prudent and reasonable manner is required by California law. The failure to do so opens the door to a strong breach of contract defense and the loss of potential recovery of damages associated with the contract breach.
What actions must you take to mitigate the damages in a contract breach in San Diego or Southern California? You must take reasonable and prudent action to limit the extent of the damages as much as possible. One effective step is to enter into constructive negotiations with the party causing the breach. Our attorneys use the existence of damages (as well as the potential for accumulation) to drive the other party to the table to negotiate a “settlement” or other solution to the issue(s) at hand which accomplishes our client’s goals and objectives.
Perhaps their own suppliers were on back order, and a resolution is in sight. There are many reasons why good and ethical businesses and professionals find themselves in a breach of contract and the fastest and least expensive resolution is to negotiate the time and additional expenses associated with resolving the breach and achieving the benefit of the bargain for both parties.
Mediation and arbitration may offer additional alternatives for efficient resolution. Your Watkins Firm business dispute attorney is prepared to provide strong representation in any legal venue to protect your interests and secure a positive outcome in a timely and cost-effective manner.
Pro-Tip: “Well, mitigating the damages is an obligation under the law. A lot of people get hurt or damaged by someone who breaches a contract. And then they go with this attitude that, ‘well, since they breached the contract, (the other party) owes us,’ and they don’t try to mitigate their damages. Mitigating the damages means doing things that would make the victim of the breach suffer as much from the breach of contract or other types of causes of action.
And what happens in the law is a judge or a jury will hear what you did and you’ll think you’re gonna get $300,000 in trial, but they’ll decide that you failed to perform your obligation to mitigate the damages, to do everything you could to lessen the amount of damages you suffered.
The primary reasons to mitigate the damages in a breach of contract is to make sure you retain the right to obtain a judgment and compensation, and to preserve the maximum amount available to you under the law.
If it’s a minor breach, that means that you still have a contract. You still have an agreement and you can demand performance, or you can demand that you have to give less performance on the other side, but yet the contract isn’t completely breached and it’s not over. A material breach gives you more remedies, remedies that are important and may sound minor today.
But there’s been many a situation where having a material breach gives the party who was breached or damaged the right to rescind the contract or the right to specific performance, and forced the performance of the contract. All of these things have amazing consequences, if you look at factual situations in breach of contract law.” – Dan Watkins, Founding Partner
The responsibility to mitigate the damages in a contract breach here in San Diego and throughout California falls on each of the parties, but especially on those who are the victim of a breach of contract. Protect your own position while you seek a positive resolution. 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. Learn more about the steps you should take to proactively mitigate your losses and preserve all financial and legal options.
Meet Daniel Watkins:
Daniel W. Watkins is a true people person who sincerely listens. He cares deeply about what others are going through. Dan enjoys digging into the facts and finding creative solutions to problems. He contributes his insights candidly and constructively.
Dan’s interest in people make him deeply invested in every relationship and his exuberant personality makes him a true litigator. Dan fights for his clients with a fierce and calculated commitment.
Dan has practiced in the areas of business, medical practices and healthcare business, high tech/science, real estate and employment defense law since 1987. He is a trusted litigation strategist and true trial attorney with over 50 jury and bench trials to his credit. Dan has successfully represented both large companies and individuals and achieved substantial victories in well-publicized trials throughout California and the U.S.
He is experienced in business and corporate formation and administration, as well as all forms of alternative dispute resolution, including binding arbitration and mediation.
THE ROAD TO BECOMING A BUSINESS LAWYER AND LITIGATOR
Dan has almost 40 years of experience working with, for and against some of the largest insurance companies in the country. He has successfully tried and litigated cases in the areas of Healthcare Compliance, Commercial Litigation, Unfair Business Practices, Fraud, Breach of Contract, Battery, Premises Liability, Product Defect, Medical Malpractice, Discrimination, Sexual Harassment, Construction Defect, as well as Unfair Competition, Defamation, and Trade Secrets.
In December 2003, Dan commenced litigation against Health South Surgery Centers-West, Inc and its’ subsidiaries, exposing the company’s extensive mismanagement and misconduct of its’ surgery centers. Dan has also been asked by some of California’s largest municipalities and corporations to conduct legally required investigations into matters involving alleged employment discrimination and harassment.
