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How a Business can Avoid Breach of Contract Lawsuits

| Aug 20, 2016 | Business Litigation |

Often times, when parties enter into a business contract, they do not think about what the future holds for the same. Nevertheless, litigation may happen after you have signed that contract. In order to protect your business, you would want to seek the help of a trusted commercial litigation attorney San Diego, CA. There are ways you can avoid breach of contract lawsuits and they include:

Properly identify the party to enter into contract

Before you even think of engaging in an agreement with a party, you should make sure you are doing so with the right entity or individual. This is by large, the most common reason why there are breaches of contracts. It may sound simple, but it could be a complex issue to deal with. For example, if an individual signs a contract in a name of a business that has not yet been formed or does not exist, it could later culminate into problems.

Have well thought-out guarantees

Guarantees tend to be unforeseeable and if you are signing a contract, ensure that the guarantor appearing on the contract is competent enough to be liable in case of a dispute. You should emphasize on the protection of corporate shield by ensuring that the guarantor can stand in when the business or the other party breaches a contract.

Have a clear venue and jurisdictional clause

A common pitfall that results in breach of contracts is failure to understand how the venue and jurisdictional clauses impact on the contract. This is especially so if you are getting involved in a contract with a business in another state. Whenever there is a breach of contract, you want to know that the place for performance of such a contract will determine if there is a case or no case to answer.

Often than not, you will enter into contracts with other parties. The best way to do that is with the guidance and help of a business litigation lawyer. Stratton & Green, ALC can help you with business related litigation, bankruptcy lawsuits, employment defense, and general civil litigation.