Failure to Read the Contract Thoroughly

It may seem obvious, but many breaches stem from failing to thoroughly review the agreement. Whether due to time constraints or assumptions about the terms, skipping over the fine print can result in misunderstandings or non-compliance with obligations. Always review contracts carefully and seek legal advice if any terms are unclear.

How to Avoid It:

Take your time to understand the contract fully before signing. A lawyer can help break down complex terms and identify potential issues.

Ambiguous or Incomplete Terms

Vague language or missing provisions can lead to differing interpretations of the contract. For example, if deadlines, payment structures or specific deliverables are not clearly outlined, parties may unintentionally breach the agreement.

How to Avoid It:

Ensure the contract includes precise and comprehensive terms. At Tempus Fugit Law, we specialize in drafting and reviewing contracts that leave no room for ambiguity.

Failure to Perform Due Diligence

Entering into a contract without fully understanding the other party’s capabilities or financial stability can result in unmet expectations. For example, a supplier unable to meet production requirements could trigger a breach.

How to Avoid It:

Research the other party before entering an agreement. Verify their reputation, financial health and capacity to deliver on their promises.

Unrealistic Expectations or Obligations

Contracts that impose unreasonable demands, such as tight deadlines or excessive penalties, are prone to breaches. Unrealistic obligations can create stress and make performance nearly impossible for one or more parties.

How to Avoid It:

Set achievable goals and ensure both parties are comfortable with the terms. An attorney can help negotiate fair and balanced provisions.

Lack of Communication

Miscommunication or no communication can disrupt contracts. For example, if one party needs to make adjustments to the agreement but fails to notify the other, this can lead to inadvertent breaches.

How to Avoid It:

Maintain open lines of communication and document any changes or updates to the agreement in writing.

Ignoring Legal or Regulatory Requirements

Some contracts are subject to specific laws and regulations. For example, failing to meet employment law standards in a business contract could result in non-compliance and breach.

How to Avoid It:

Stay informed about legal requirements that may affect your agreement. Consulting with an attorney ensures your contract adheres to all applicable laws.

Not Keeping Accurate Records

Failing to document performance or correspondence related to the contract can make it difficult to prove compliance or address disputes if they arise.

How to Avoid It:

Keep detailed records of payments, communications, and any actions taken to fulfill your obligations under the contract.

Unilateral Changes Without Agreement

Making changes to a contract without the other party’s consent is a common cause of disputes. For example, altering payment terms or delivery dates without approval could result in a breach.

How to Avoid It:

All changes must be agreed upon by both parties and documented in an amendment to the contract.

Protect Your Agreements with Professional Legal Support

Avoiding a breach of contract starts with careful planning and execution. At Tempus Fugit Law, we provide expert guidance in contract creation, review and enforcement to help our clients minimize risks and protect their interests. Whether you need assistance with drafting an agreement or resolving a dispute, our team is here to support you.

Ensure your contracts are as strong and secure as your business relationships. Call Tempus Fugit Law at (617) 752-2371, email team@tflawllc.com or contact us here on our website to request a complimentary legal consultation today.