Did you know that failure to adhere to the terms of a contract could lead to a breach of contract? Be it unsatisfactory service delivery or delay in payment, a contract once breached is also a breach of trust. Contracts are usually created to formalize an agreement and to protect the involved parties through mutually agreed terms and conditions.
A contract is updated from time to time according to the needs of the parties involved even after the service has been delivered. Hence, it is critical to pay attention to what you agree upon while executing your contracts. Whether you have a small or a large enterprise, a breach of contract is all it takes to put your reputation at risk while costing you your time, money, and resources. place which affects you very badly and can lead to a waste of time, money and resources. Let’s take a look at some of the most commonly found contract breaches around the world.
Partial Breach
Let’s assume that there was a minor breach of contract from your side. Guess what? That’s all it takes to put you at stake. There are times when you have adhered to almost all terms mentioned in the contract, however, you missed out on a few minor obligations. This is known as a partial breach of contract wherein a party might have failed to uphold a portion of the contract while fulfilling the rest.
Material Breach
This is a distinctly sensitive breach that strikes so deeply in which the other party can sue the breaching party for damages. In many instances, the contract itself is terminated as the damages caused are beyond repair, thus, defeating the purpose of making a contract. They can also terminate the contracts if they want to since it is irreparably broken which comes out to defeats the purpose of making a contract.
Anticipatory Breach
In an anticipatory breach, when the contract standards are not met by a party, the other parties involved also lose interest in fulfilling their part of the agreement as well.
This is often a result of lack of information as agreements have a number of pages with a wide number of clauses, obligations, and contractual commitments which is only handy to fulfill with the legal person.
A single person cannot control the activities of the other parties involved in the contract. However, it doesn’t mean you cannot protect yourself from the breach of contracts. The best professionals of AEREN LPO aim to mitigate the risks by providing the best contract management services in the market. They will draft the best possible agreement by monitoring your obligations.
